Could Amazon's DVR plans threaten TiVo's pay TV business?

Amazon is reportedly building a live TV recording device, one that could eat into TiVo’s digital video recorder business. The rumor sent TiVo’s stock on a sharp decline Friday and could be bad for the company’s pay TV business.According to Bloomberg, Amazon’s live video recording device, codenamed “Frank,” will work as a physical storage add-on for Amazon’s existing line of Fire TV devices. It would allow Fire TV users to record live television and then watch it later from anywhere on a smartphone or other connected device.A company like Amazon, with its massive ecommerce business and big consumer electronics presence, would clearly pose a threat to TiVo’s retail business by jumping into the DVR market. But Amazon could also disrupt TiVo’s pay TV partnership business with its plans.