If installers working for small- and mid-sized U.S. MSOs weren't already aware of TiVo's presence in the global cable market, the company's third quarter earnings made it abundantly clear just how much TiVo has infiltrated the sector under soon-to-transition CEO Tom Rogers.
TiVo reported MSO subscriber growth in the third quarter of 418,000, its best performance ever during the period, upping its total cable customer base to 5.5 million.
"We now serve over 70 global operators in 30 countries who have a global footprint together of 90 million homes between them," said Rogers, who will shift to chairman of TiVo's board starting Feb. 1 and end his regular cross-country commute from New York to Silicon Valley. "Our operator-related software and service revenues are now growing at a double-digit rate and are expected to soon contribute more than $100 million per year, whereas 10 years ago, we had no deployed cable partners."
In the U.S., TiVo has agreements with 15 mid-sized cable operators, including Suddenlink Communications, Mediacom, Cable One and Atlantic Broadband.
The company is now marketing its "TiVo Lite" service to these operators, a streamlined, non-DVR service that utilizes technology obtained in TiVo's $27.5 million purchase of Cubiware over the spring.
TiVo is also rolling out its new 4K-capable Bolt DVR to these same companies.
TiVo's revenue from servicing its more than 70 MSO clients around the world increased 60 percent year-over-year in the third quarter.
Overall, the company reported service and technology revenue of $102.8 million, up from $88.1 million in the third quarter of last year and beating guidance of $100 million to $103 million. It was the first quarter where service revenue from TiVo's MSO sector exceeded service revenue from the company's "TiVo owned" business.
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TiVo adds an all-time-best 418K MSO subs in Q3
TiVo's Rogers to step down as CEO, company begins search for new chief executive
CEO Rogers: TiVo getting around $2 per sub per month from North American cable subscribers
TiVo puts $27.5M Cubiware buy to use, targets MSOs with 'TiVo Lite'