However, we once again affirm the district court’s finding of contempt of the disablement provision of the permanent injunction and its sanctions award in its entirety because we conclude that EchoStar waived arguments of overbreadth and vagueness with regard to that provision.
Sounds like they are agreeing with Dish in it's entirety (i.e. that the requirement to disable DVR functionality was overbroad), but are upholding because Dish should have objected earlier if they felt they could design around it.
They agreed they do not continue to infringe (or more accurately, that the case would need re-heard), but there was a court order to shut down the DVRs regardless of infringement, and they are still in contempt of that.
Petition for writ of certiorari is probably coming. It will be interesting to see what happens. SCOTUS just might want to take up one of these techie patent cases.