TiVo's Series 3 digital video recorder has become an almost required device for any high-definition aficionado, and it's far and away the best DVR on the market. But a $799 USD price tag has kept the S3 confined to a relative small number of homes. TiVo hopes to change that with the Series 3 "Lite," priced at $299 USD.

According to product specifications leaked to the TiVo Community Forums, the slimmed down Series 3 will pack nearly as many features as its predecessor. Instead of a 250GB drive, the new version will include 160GB of space, which amounts to 20 hours of HD recording instead of 30 hours, and 180 hours of standard-definition recording as opposed to 280 hours.

The "Lite" Series 3 -- a final name has not been announced, although "TiVo HD" is a rumored candidate -- will also reportedly not sport an OLED display and will include TiVo's standard remotely instead of the glossy, backlit model. Since it's not targeted at enthusiasts, TiVo is also not going to have the new device THX certified.

Instead of dropping features, TiVo appears to be largely cutting costs by taking advantage of newer technologies. The cheaper Series 3 will utilize a single chip for both MPEG-2 and MPEG-4 recording instead of two, and include a smaller motherboard.

Everything else is pretty much the same between the $299 model and its pricey forbearer. Both DVRs support output up to 1080p and can record two channels at once using dual CableCARDs. Analog ATSC/NTSC/QAM inputs, as well as over-the-air HD are supported as well.

If the leaked specifications hold up, the big question will be how TiVo avoids cannibalizing sales of the original Series 3 unit. A price drop could be in the cards, as TiVo has already offered a number of rebates on the unit that bring the price down to $499 USD. The company makes most of its revenues from its subscription service, that users pay for on a monthly or annual basis.

A $299 high-definition TiVo for the mass market comes at a time when more households are switching to the technology thanks to affordable HD sets and cable companies expanding their high-definition lineups. TiVo also developed a version of its software for use in Comcast DVRs built by Motorola, which support HD recording as well.

Of course, TiVo has yet to make any official announcement regarding its upcoming plans, but numerous listings on online retail stores such as Buy.com and Amazon indicate the $299 Series 3 unit could arrive within weeks.