(Updated to add more details, beginning in the second paragraph.)
TiVo Inc. (>> TiVo Inc.) Chief Technology Officer James Barton has resigned from the video-recording company he helped found, the company said Friday.
The executive's departure comes in the wake of two far-reaching settlements the company made over the use of its recording technology that significantly boosted the company's bottom line.
TiVo reported the most profitable quarter in its history last year after Dish Network Corp. (>> DISH Network Corp.) and EchoStar Corp. (>> Echostar Corporation) agreed to pay the company $500 million to settle a seven-year patent dispute over TiVo's digital video recorder technology. The company in January reached a separate deal with AT&T Inc. (>> AT&T Inc.) that gives TiVo at least $215 million for its technology through June 2018.
TiVo's bottom line has still struggled over the past two years because of rising costs and lackluster subscriber numbers. The company responded by signing more deals with satellite and cable providers to boost its viewer base, which broke a four-year streak of declines in the fiscal third quarter.
Barton, age 53, agreed to continue working for TiVo in a consulting capacity to advise the company on patent matters, litigation and other technical matters, according to a Friday filing with the Securities and Exchange Commission. The company will pay him $25,000 a month through mid-March 2015 under the arrangement.
Barton worked at TiVo since its 1997 inception and led the company's research and development arm until 2004. He previously headed Network Age Software Inc., which developed the basis of TiVo's DVR technology. He also worked as chief technical officer of Interactive Digital Solutions Co., a joint venture Silicon Graphics International Corp. (SGI) and AT&T Network Systems created to develop interactive TV systems.
-By Drew FitzGerald, Dow Jones Newswires; 212-416-2909; [email protected]