Federal Court Blocks TiVo Injunction

ENGLEWOOD, October 4: A Federal Court has blocked TiVo’s
injunction against EchoStar Communications Corporation that would have
prevented the satellite platform from rolling out certain models of its digital
video recorder to subscribers.

The injunction, issued in August, stemmed from TiVo’s patent
infringement suit against EchoStar. The satellite platform was ordered to pay
TiVo approximately $74 million in damages as part of the suit, in which the DVR
company accused the satellite platform of infringing on its "Time
Warp" patent, which allows for capabilities such as pausing live
television, fast-forwarding, rewinding, instant replays, and slow motion.

In a statement issued after the injunction was blocked,
EchoStar noted, "We are pleased the Federal Court found that EchoStar has
a 'substantial case on the merits' and blocked the Texas decision for the
duration of the appeal. This action by the Federal Court reinforces our belief
that the Texas court made significant errors during the trial process and we
look forward to complete vindication of our position. As a result of the Court
action, our customers will not be disrupted and all of our DVR models will
continue to be available through the EchoStar distribution system."

TiVo, in response, noted, "We are confident that the
jury's decision in TiVo's favor will be upheld once the Federal Circuit has the
opportunity to review the entire record in this case. It is important to note
that most injunctions in patent cases are stayed pending appeal, and the appeal
itself will be decided on a totally different standard of review.”