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ShadowTD · 01-12-2010, 15:58

I think it helps if you think of the £200 as being for the 'service'. There's no way VM could provide the 'service' (CPE, backend, infrastructure) for £3 a month. So they offer a low monthly fee and have an upfront charge. Let's look at some numbers. A VM subscriber having TiVO for (hopefully!) two years:

£3 x 24 = £72. Plus the £190 upfront is £262.

Now charge the same upfront as they do for V+. This leaves

£212 / 24 = £8.83, so call it £9 a month.

If VM had mandated a 2 year contract (which wouldn't be a massive surprise, they're already after 18 month contracts) with an extra tenner per month and only £50 upfront I don't think anyone would be complaining. I'm happy to pay the £189.

01-12-2010, 15:58	#131
ShadowTD Inactive Join Date: Jan 2007 Location: Loughborough (Langley) Services: 200Mb & SH2ac Posts: 823	Re: Tivo I think it helps if you think of the £200 as being for the 'service'. There's no way VM could provide the 'service' (CPE, backend, infrastructure) for £3 a month. So they offer a low monthly fee and have an upfront charge. Let's look at some numbers. A VM subscriber having TiVO for (hopefully!) two years: £3 x 24 = £72. Plus the £190 upfront is £262. Now charge the same upfront as they do for V+. This leaves £212 / 24 = £8.83, so call it £9 a month. If VM had mandated a 2 year contract (which wouldn't be a massive surprise, they're already after 18 month contracts) with an extra tenner per month and only £50 upfront I don't think anyone would be complaining. I'm happy to pay the £189.