Netflix gained another powerful partner when it announced its streaming service will head to TiVo DVRs before the end of the year. TiVo owners will be able to stream content from Netflix for free, while using a PC to add movies and TV episodes into their streaming queue.

“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,” said Reed Hastings, co-founder and CEO of Netflix.  “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.”

Randomly selected beta testers will be able to use the service now, while the companies plan to officially launch the service in December.

The two companies originally planned to work together after making an announcement in September 2004, but the companies started working on different projects.  The possible partnership four years ago created a large amount of buzz because video delivery over the Internet was not something widely used at the time.

Streaming Netflix will be available on HD XL, TiVo HD, and all Series3 DVRs.  Netflix has 8.7 million subscribers and TiVo has 3.6 million subscribers.

Netflix subscribers now can watch movies and TV episodes using computers, TVs, Blu-ray players with streaming Netflix, set-top boxes, and other disk players.