Aereo Pulls Plug on Streaming TV Operations

Saturday, 28 Jun 2014 11:34 AM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Aereo, the video streaming service that has sought to provide an alternative to traditional TV broadcasters, said on Saturday it was suspending services after being dealt a blow by the U.S. Supreme Court this week.

 

"On Wednesday, the United States Supreme Court reversed a lower court decision in favor of Aereo, dealing a massive setback to consumers, " Aereo chief executive Chet Kanojia said in a letter to customers.

"As a result of that decision, our case has been returned to the lower Court. We have decided to pause our operations temporarily as we consult with the court and map out our next steps. You will be able to access your cloud-based antenna and DVR only until 11:30 a.m. ET today," Kanojia said, adding that consumers would be refunded their last paid month.

In its ruling on Wednesday, the Supreme Court said Aereo, a service backed by media mogul Barry Diller, violated copyright law by using tiny antennas to broadcast TV content online to paying subscribers.

The decision was a victory for traditional broadcasters such as CBS Corp, Comcast Corp's NBC, Walt Disney Co's ABC, and Twenty-First Century Fox Inc's Fox.

Started in 2012 and backed by Diller's IAC/InterActiveCorp , Aereo typically charges about $8 to $12 a month, and lets users stream live broadcasts on mobile devices. Aereo does not pay the broadcasters. The service has operated in 11 U.S. cities, and does not provide subscriber data.

On Wednesday, Kanojia called the court decision "a massive setback" for American consumers, but stopped short of saying it means the end of the service.

In his letter on Saturday, he said the company believes that "the spectrum that the broadcasters use to transmit over the air programming belongs to the American public."

"We believe you should have a right to access that live programming whether your antenna sits on the roof of your home, on top of your television, or in the cloud."

Writing for the majority in Wednesday's court decision, Justice Stephen Breyer said Aereo is "not simply an equipment provider," but rather bears an "overwhelming likeness" to cable TV companies whose ability to retransmit broadcasts was limited under a 1976 copyright law.

The decision overturned an April 2013 ruling by the federal appeals court in New York, which had denied the broadcasters' request to shut down Aereo while litigation moved forward.

Diller, 72, is known for pushing the boundaries of traditional media. He helped start the Fox network in 1986, defying naysayers who saw no room for a fourth U.S. broadcast network. 

 



© 2014 Thomson/Reuters. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Imam to Hannity: Sharia Law Is 'Coming to a Place Near You'

Wednesday, 27 Aug 2014 23:11 PM

Controversial London Imam Anjem Choudary had a heated argument with Fox News Channel's Sean Hannity on the latter's show . . .

Missouri Governor Names New Public Safety Director

Wednesday, 27 Aug 2014 22:35 PM

Missouri Gov. Jay Nixon on Wednesday appointed a new state public safety director, giving his administration its only bl . . .

Stifling Free Speech? California Looks to Ban Confederate Flag

Wednesday, 27 Aug 2014 22:16 PM

California is looking to bar the "Stars and Bars." A bill sits on Gov. Jerry Brown's desk to ban California from display . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved