Digital video recording pioneer ReplayTV plans to announce on Monday it will start selling software to allow personal computers to tune in and record live television next year in a deal with Hauppauge Digital's (HAUP) Hauppauge Computer Works.

Hauppauge's WinTV-PVR tuner-encoder card, which lets PCs tune in and record live television, will be sold with ReplayTV software starting next year in North America.

ReplayTV, owned by D&M Holdings, said it has successfully restructured over the past year, and its digital video recorder business is "solidly profitable."

A company spokeswoman said ReplayTV will complete its transformation from a hardware manufacturer to a DVR software and services provider with the sale of all remaining 5500 Series DVR models, probably by the end of 2005.

ReplayTV and TiVo (TIVO) were the first to market digital video recording capabilities that allow viewers to pause, rewind and replay live broadcasts by recording them onto computer hard drives.

More product and pricing details for ReplayTV's software will be announced in 2006, the company said.