• by David Kaplan , March 18, 2005

It's becoming apparent that digital video recorders (DVR) such as TiVo lead to watching more TV overall, but new research indicates DVR users watch more of some kind of television than others: cable TV.

According to the study of 400 consumers conducted by Horowitz Assocaites between November and December 2004, about one-third (29 percent) of consumers with a DVR or TiVo in their home say they watch more TV in general, while more than three out of ten (35 percent) say they watch more programs on cable now than before they had the device.

"It's clear that networks will need to adjust their business models to take into account the potential impact of these services, say, on advertising," said Howard Horowitz, president of Horowitz Associates. "But the bottom line is that advanced digital technologies like DVRs are starting to make a real, positive difference for consumers when it comes to the perceived value and quality of TV programming and services."

The study also shows that among all "multichannel consumers," three out of ten (27 percent) are digital cable subscribers and 22 percent are satellite subscribers. Overall digital penetration has reached 41 percent, with cable claiming a 56 percent market share and satellite a 45 percent share of digital homes.