Well, it seems that Foxtel just may be worried about competition from TiVo in Australia. First their chief exec tried flinging FUD, and now they’re offering discounts. While TiVo is sold for a flat AUD$699 with no subscription fees, Foxtel is a pay TV service. So while the upfront costs are lower, there are ongoing fees. As I wrote in July:
Seven’s major competitor is the pay-TV service Foxtel, which offers their Foxtel iQ2 DVR. While the iQ2 is only AUD$200, AUD$500 less than TiVo, there is a monthly fee. The iQ2 costs AUD$10-15 on top of the standard Foxtel subscription (Foxtel is a Pay TV service), which runs AUD$37.95 up to AUD$105.95 a month, depending on the level of service. Since the TiVo records free-to-air broadcasts and has no monthly fee, it rapidly becomes the less expensive option.
Well, with TiVo selling well in Australia, it seems that Foxtel is making moves to remain competitive. Rapid TV News reports that Foxtel is offering discounts and better contract terms on their DVRs. The Foxtel iQ SD DVR is being offered without an install fee and free of the AUD$10 monthly DVR fee for one year. The iQ2 HD DVR is still AUD$200 upfront, but Foxtel is waiving the DVR fee for seven months. They’re also offering the service with a 12-month commitment, instead of their usual 24-month plan.
In the end competition is good for consumers.