For the first time, TiVo is offering a DVR at...

For the first time, TiVo is offering a DVR at no extra charge to customers who agree to a two-year service contract. The company announced promotional pricing on TiVo Premiere and TiVo Premiere XL DVRs through Dec. 31. TiVo is positioning the promotions as bundles combining lower-priced or no-charge DVRs with increased monthly fees of $19.99. Standard TiVo monthly subscriptions were previously $12.95. TiVo Premiere is priced through the end of the year at “$0 down with a two-year commitment” of $19.99 monthly, or $99 with a one-year commitment. Buyers keep the box in either case. A sales agent told us this is the first time that the company has offered a TiVo DVR free, and he called the package the “best deal” of the three promo options. He said $19.99 is the new monthly fee for TiVo service. The price of the step-up TiVo Premiere XL also dropped to $299 with a $19.99-per-month one-year commitment. Consumers can choose the front-loaded option of $499 with a one-year contract at $12.95 monthly. The promotions are being offered at Best Buy stores and direct from TiVo. TiVo will penalize customers, cellular carrier-style, for early contract termination. Its website says the fee will be the lower of the amount of monthly subscription fees remaining on a one-year monthly subscription commitment or the retail value of the TiVo box minus the upfront price of the box, less the difference between the service bundle plan’s monthly fee and $12.95 for each month of the subscription that has been fulfilled.