TiVo 2004 Annual Report Download - page 11

Table of Contents
Index to Financial Statements
We have also purchased 12 foreign and domestic patents and 6 foreign patent applications from International Business Machines Corporation. These
patents and patent applications generally relate to audience research and measurement, integration of television signals with internet access, automatic
rescheduling of recordings, content screening, enhanced program information search, and electronic program guide interface enhancements.
Several of our early patent applications have been examined and claims allowed by the U.S. Patent and Trademark Office. In addition, certain of our
patents have been examined and approved under the terms of the Patent Convention Treaty, which provides for nominal acceptance of the patent in countries
that are signatories to the treaty, which includes most countries in the world. We are currently filing for acceptance in key countries around the world.
We have secured U.S. registrations for the marks "TiVo," the TiVo Logo, TiVo Smile Design, "TiVo Central," "Can't Miss TV," "Ipreview,"
"TiVoMatic," "TV Your Way," "What you want, when you want it," "TiVolution," the Jump Logo, the Thumbs Up Logo, and the Thumbs Down Logo. We
have filed many other trademark applications covering substantially all of our trade dress, logos, and slogans, including: "DIRECTIVO," "Overtime
Scheduler," "Primetime Anytime," "Season Pass," "See it, want it, get it," and "Wishlist." These applications are currently pending with the U.S. Patent and
Trademark Office. Additionally, we have international trademark applications pending for several of these trademarks. We have licensed the use of our name
and logo to some of our customers and consumer electronics manufacturers.
We anticipate ongoing progress in our establishment of a defensible and useful intellectual property portfolio; however, there can be no assurance that
current patents will be enforceable or our current patent applications will ever be allowed or granted. See "Management's Discussion and Analysis of
Financial Condition and Results of Operations — Factors that May Affect Future Operating Results – Our success depends on our ability to secure and protect
our patents, trademarks, and other proprietary rights" for additional information concerning our intellectual property.
Privacy Policy
We have adopted a privacy policy, which we make available on our website and deliver to each new subscriber to the TiVo service. This policy was last
updated in June 2004 to cover new commerce features that we plan to introduce in the future. This policy explains that we collect certain types of information
such as anonymous viewing and diagnostic information, but all viewing -information that is linked or associated with an individual identity will not be
disclosed without the viewer's affirmative consent. We further give subscribers the ability to "opt-out" from the collection of anonymous viewing information
and diagnostic information log files.
We have designed a system that ensures that any viewing information transmitted from our receiver is anonymous on the receiver and remains
unidentifiable to a particular viewer (known as anonymous viewing information), unless that subscriber affirmatively consents to such identification before
any viewing data leaves the receiver. Anonymous viewing information is collected separately from any information that identifies a viewer personally. As a
result, we may be able to use this anonymous information to tell a broadcast or advertising client the percentage of our viewers that recorded a particular
program or advertisement, but we will not know, nor be able to tell the client, which of our viewers did so, unless a viewer decides to provide that
information.
Employees
At April 1, 2005, we employed approximately 343 employees, including 35 in service operations, 193 in research and development, 33 in sales and
marketing, and 82 in general and administration. We also employ, from time to time, a number of temporary and part-time employees as well as consultants
on a contract basis. At April 1, 2005, we employed 35 such persons. Our future success will depend in part on our ability to attract, train, retain, and motivate
highly qualified employees. We may not be successful in attracting and retaining such personnel. Our employees are not represented by a collective
bargaining organization and we have never experienced a work stoppage or strike. Our management considers employee relations to be good.
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