Today, anyone searching for signs of TiVo’s first-mover edge in the lucrative DVR sector would have to look pretty hard. According to one recent study, the company currently controls just 2 percent of the market, while 61 percent of DVR consumers use devices provided to them by their cable companies.
So what happened? In a word, competition. ReplayTV faltered, but new rivals appeared. And when TiVo management decided to wield its technology in court—in the form of an infringement claim—to fend off one of those rivals, the results provided an object lesson in what some see as a major flaw in modern-day patent litigation: the inability of operating companies to win real injunctive relief.
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