In order to link the television sets with online entertainment, Netflix Inc and TiVo has decided to team up to deliver movies from a Netflix Internet service to TiVo digital-video recorders.

The service is expected to be available in early December.

There will be no extra charge for TiVo subscribers, who also have one of Netflix’s unlimited subscription plans, which start at $8.99 a month. However, the two companies have not disclosed the terms of the deal.

Based in Los Gatos, Calif., Netflix is known for its DVD subscription service that mails discs in familiar red envelopes.

While lecturing on this, Reed Hastings, co-founder and CEO of Netflix, said, “For Netflix and TiVo subscribers, this collaboration offers a fabulously easy way to enhance the enjoyment of watching movies in the comfort of their living rooms.”

“Subscribers to Netflix and TiVo are avid movie watchers and this combination gives them immediate access to all of the great content available through TiVo and the thousands of additional choices available to be streamed instantly from Netflix”, Hastings added.

On the other hand, TiVo Inc. president and CEO, Tom Rogers, said, “Joining forces with Netflix creates the ultimate video on demand service and solidifies TiVo's leading position as the one-box solution for aggregating, searching, and delivering the best content available anywhere right to the TV.”

TiVo is the maker of the popular digital video recorder.

The relationship between the two bantamweights was expected to happen four years ago, but was killed due to licensing rights issue.