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Floating on the Bubble.(TiVo shares high)(Brief Article)(Statistical Data Included)

Newsweek International

| July 02, 2001 | Walker, Rob | COPYRIGHT 2001 Newsweek, Inc. All rights reserved. Any reuse, distribution or alteration without express written permission of Newsweek is prohibited. For permission: www.newsweek.com. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

The end of the Internet stock bubble would also seem to mean the end of the "story stock"--those shares that trade at lofty prices on the basis of their imagined potential. But there's at least one company that has still managed to retain an enormous gap between the hypothetical future and the unspectacular reality: TiVo, the maker of interactive television devices that give a couch potato greater control over programming.

That may sound like what video recorders were doing a couple of decades ago but, to be fair, TiVo's technology is different. It uses not tape but computer hard-disk memory, which means you can watch and rewind even as you're recording. If that doesn't sound spectacular, you're out of touch with the market. Recently the granting of TiVo's patent, a fairly routine event, nevertheless sent shares soaring 40 percent.

Sure, ...

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