Seth Scheisel has a good piece in the NY Times about the impact of cable companies who are bundling in PVR capabilities into the newest digital cable set-top boxes. It is all bad news for Tivo.
In the end, Mr. Palermo was turned off from TiVo by the prospect of having to connect all kinds of wires and adding a new box to his home entertainment system. So, instead, he ordered a relatively new product that his cable company, Time Warner Cable, a unit of Time Warner, has been pitching: a set-top box made by Scientific-Atlanta with a DVR already built in.
I'm trying to frame the current competition between the standalone PVR manufacturers with the incumbent providers within the framework of Harvard Business School's Clayton Christensen's theories involving "disruptive technologies." It is clear that hard-disk based media recording is disruptive, but executing on that is the challenge that Tivo may have sadly missed.
NY Times - Can Cable Fast-Forward Past TiVo?