Shares in TiVo dropped more than 41 percent Friday after a court decided to rehear a patent dispute over digital video recorders.
The U.S. Court of Appeals for the Federal Circuit in Washington granted Disn Network Corp.'s request for a full-court review of a March ruling it lost to TiVo. That ruling could have resulted in the satellite TV company disabling millions of DVRs.
TiVo's stock price tumbled by $7.23 to $10.16 after the court vacated the earlier ruling and said sister companies Dish and EchoStar Corp. could again try to make their case.
Dish shares were up by more than 6 percent at one point, ending the day up 4.3 percent to $22.90.
But it's uncertain whether Dish will be the eventual winner, since TiVo has prevailed in a series of other court rulings.
"We are disappointed that we do not yet have finality in this case despite years of litigation, but we remain confident that the federal circuit's ruling in our favor will be reaffirmed after all of the judges on the federal circuit have had the opportunity to review the merits of this case," TiVo officials said in a statement.
Dish and EchoStar said they were "pleased" with the ruling. "We believe the issues that will be considered by the full court on re-hearing will have a profound impact on innovation in the United States for years to come."
