Wednesday, July 17, 2013

Broadcasters Lose Another Round In Aereo Battle

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."

No comments:

Post a Comment