• TechSpot.com, Wednesday, July 25, 2007 10:16 AM

The high-def TiVo Series3 digital video recorder, which came out last year, got good reviews, but had a hard time selling because of its $800 price tag. Now the company is hoping to garner more custom by dropping the TiVo HD to just $299. Apart from the huge cost spread, the big difference between the two is that TiVo HD has a 160GB hard drive, good for 180 hours of standard-definition programming or 20 hours of high-def, while the Series3 has a 250GB hard drive.

But TiVo HD also allows recording and playback of HDTV, while featuring "CableCARD" slots that can tape one show while playing -- or capturing -- another at the same time. The cheaper version also lacks a high-end LED display on the front of the box and comes with a simpler remote control and exterior design.

"We're seeing a desire for HD everything," says James McQuivey, a vice president and analyst at Forrester Research. "And it would have been a missed opportunity for TiVo to not introduce a more affordable product." Still, if it is cheaper, a $16.95 monthly fee -- or $299 for three years -- could turn off some customers as TiVo tries to compete with cable and satellite operators that provide DVR services for less.

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