TiVo, Dish and EchoStar make up

By Hibah Yousuf, staff reporter


NEW YORK (CNNMoney) -- Dish Network and EchoStar Corp. agreed to pay TiVo Inc. $500 million to settle a patent dispute that dates back to 2004, the companies announced Monday.

Shares of TiVo (TIVO) rose 6% in morning trading, while Dish Network's (DISH, Fortune 500) stock jumped more than 13%. Shares of satellite TV company EchoStar (SATS) fell 3.4%.

TiVo will receive an initial payment of $300 million, with the remaining $200 million distributed in six equal annual installments through 2017.

Under the terms of the settlement, all three companies agreed to share certain patent licenses related to their digital video recorder (DVR) technology.

Tom Rogers, president and chief executive of TiVo, said he was "extremely pleased" with the agreement, which brings the total compensation his company has received from Dish to over $600 million, according to the companies' statement.

For Dish Network, the settlement provides a "competitive advantage" since the patents will allow the company to enhance the performance of its DVRs, said Dish CEO Charlie Ergen.

Separately, Dish said its first-quarter profit more than doubled from a year ago to $549 million. The satellite TV broadcaster added 58,000 subscribers following three quarters of losing subscribership.

EchoStar also reported its earnings on Monday. EchoStar's quarterly profit fell 76% from a year ago to $17 million, as its revenue tumbled 23.5%.  To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 16,408.54 -16.31 -0.10%
Nasdaq 4,095.52 9.29 0.23%
S&P 500 1,864.85 2.54 0.14%
Treasuries 2.72 0.08 3.19%
Data as of 1:18am ET
Company Price Change % Change
Bank of America Corp... 16.15 0.00 0.00%
Facebook Inc 58.94 0.00 0.00%
General Electric Co 26.56 0.00 0.00%
Cisco Systems Inc 23.19 -0.02 -0.09%
Micron Technology In... 23.91 0.00 0.00%
Data as of Apr 17
Sponsors

Sections

GM won't have to tell customers to keep their recalled cars parked until fixed, after a federal judge denied emergency motion Thursday. More

Obamacare sign ups hit 8 million, though final enrollment remains to be seen. More

Schwinn, Trek and Cannondale are all iconic American bicycle brands. But none of them are made in the United States. More

As Detroit moves closer to reaching a bankruptcy deal, retired civilian workers are poised to be left worse off than firemen and police officers. More

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.