How Does HD TIVO work? Can it replace Directv HD DVR (too pricey!)?

So I just signed up for Directv about 2 months ago and just got the regular DVR box, I received an HDTV for my birthday and was going to get the HD DVR box from Directv and found out I have to pay $199 for a new box! I was trying to look at alternatives to spending $199 and came across TIVO but I am not very familiar with how it works. Do you have to have internet to use it? Would I be able to get HD programming through it in addition to being able to record the shows? Could someone please explain how it works and if it will do what I am wanting, get HD programing (through Directv or not) using the box. Sorry, I feel silly asking it because I am pretty tech savy but have just never looked into TIVO before. Also, any other alternative suggestions to purchasing the new HD DVR box so that I could get HD programming on my TV would be great! I am in a contract now with Directv so cancelling is not an option.
Answer:

This won't help you now, but maybe when your contract expires. See if you can get AT&T U-Verse in your area. The DVR is included with all subscriptions except two of their entry-level packages, and HD is only $10 extra on any channel package. If you're in an AT&T service area, the link below will tell you if you can get U-Verse. If not, check again when your satellite contract expires, since the U-Verse network is constantly growing.

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