It's a win-win.
Blockbuster will begin selling TiVo boxes through its stores and website when the service becomes available in the second half of the year, broadening the reach of the DVR pioneer. Blockbuster will also be able to reach millions of active TiVo subscribers to sell piecemeal video, eliminating the pressure for the company to sell more of its $99 proprietary Wi-Fi box solutions.
The market's digging the news. Blockbuster's stock opened 21% higher today. TiVo shares began the trading day with a 5% gain.
The partnership makes sense, though Blockbuster better not get its hopes up. It will have competition on TiVo boxes that can also stream Netflix
True to its original goal of time-shifting programming, TiVo owners also spend plenty of time watching pre-recorded content.
That has certainly never gotten in the way of companies brokering deals to get to TiVo subscribers. Whether we're talking about ordering dinner from Domino's Pizza
Yes, it is the Swiss army knife of digital television. Going by TiVo's ability to broker deals with mortal enemies like Blockbuster, Netflix, and Amazon, it's safe to say that it also has the same neutrality stance as Switzerland.
Other "thumbs up" reads on TiVo:
Longtime Fool contributor Rick Munarriz owns shares in TiVo and Netflix. He is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early. The Fool has a disclosure policy.