Rogers continued, "We are very excited about the growing distribution of TiVo and about the deepening relationships we have with operators around the globe. This is underscored by the 83% increase in MSO revenue over last year and the 38% increase in total TiVo subscriptions. With upcoming launches of our deals we signed last year and the run rate on our current deals, we're on pace to drive a significant number of incremental subscriptions even without factoring in future deals.
"More specifically, in the U.K., our offering is helping drive significantly improved pay-TV growth and market share gains for Virgin Media. This past year Virgin Media added almost 900,000 TiVo subscriptions to reach a total of more than 1.3 million, or 35% of their base. As the Virgin Media offering evolves we believe even more fans of TV in the U.K. will seek out our unique offering. In Spain, our deployment with ONO continues to gain momentum and the fourth quarter was ONO's strongest quarter to date in terms of subscription additions.
"Our work with Com Hem in Scandinavia is progressing as our offering there is in the early testing stages with a full roll-out expected later this year. Com Hem is a perfect example of how operators are beginning to embrace new IPTV video delivery options across their networks and how TiVo can take them beyond the set-top box to provide a best-in-class experience through virtually any type of video delivery and on any type of device. The full IPTV multi-screen experience we are developing for Com Hem is one we expect more operators will be extremely interested in deploying as their infrastructures are upgraded and enhanced.
"Turning to our U.S. operator efforts, the strategic benefit of getting TiVo in front of subscribers has motivated many of our operator partners to look for ways to distribute TiVo beyond a single advanced-DVR experience. For example, Suddenlink, which also had its strongest quarter to date in terms of subscription additions, is now distributing our TiVo Premiere DVR, our TiVo Mini thin client, and TiVo Stream. We believe TiVo Stream is one of the most exciting television products in years as it allows customers to stream their favorite shows, the ones they recorded, from a TiVo Premiere series DVR simultaneously to multiple mobile devices.
"Additionally, GCI, one of the top 20 largest cable companies in the country, recently began its initial deployment of TiVo, approximately four months after the deal was announced. We anticipate several other U.S. operators will follow GCI as the year progresses.
"On the TiVo-Owned front, we were pleased with our progress this quarter as gross subscription additions were up roughly 10% year over year while churn remained relatively low. Additionally, our marketing efforts, which included some modest TV advertising, have been successful in driving increased brand awareness of TiVo, something we hope will drive even better results going forward. We also saw the lowest level of subscription losses in a little more than four years.
"The enhancements we continue to make to our product and service offerings and the progress that we continue to make toward our vision of a seamless in-home / out-of-home video experience have played key roles in our ability to engage in new relationships with cable operators, as well as to provide our existing customers with the best possible television experience. In the last year, we've made important strides in bolstering TiVo's multi-room and multi-device offerings, making our software scalable across deployments, and improving our search & discovery functions. At the same time, we reduced our overall research and development spend in the second half of the year from its peak in the first quarter of Fiscal Year 2013.
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