In another win for Barry Diller's IAC-backed Aereo Inc, a U.S.
appeals court declined on Tuesday to rehear an appeal by the major broadcasters
seeking to temporarily shut down the online television start-up, according to
Reuters
The broadcasters, including Walt Disney Co's ABC and Comcast
Corp's NBCUniversal, contend Aereo infringes their copyrights. In April, a
panel of the U.S. 2nd
Circuit Court of Appeals refused to close down Aereo while a lawsuit over the
service continued in Manhattan
federal court.
The broadcasters had asked the full court to rehear the
appeal, but the majority of the court on Tuesday declined.
The case has been closely watched by the television industry
because Aereo's service threatens the traditional broadcast model and
broadcasters see Aereo as a challenge to their ability to control subscription
fees and generate advertising income.
Aereo charges users about $12 a month to watch live or
recorded TV channels on their computers or mobile devices. The company, which
does not pay licensing fees to the broadcasters, streams the televised content
to subscribers via tiny off-site antennas.
CBS Broadcasting Inc called the decision "no
surprise" and said that "all industry lawsuits against Aereo and
similar services that steal our content are going forward as planned."
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