The US Supreme Court has declared internet streaming service Aereo as illegal. The court said that Aereo acts in violation of copyright law. The court rejected an earlier appeals court decision, which had ruled the fledgling service did not breach broadcasters copyright. The ruling effectively means the court sees Aereo as similar to a cable […]
The US Supreme Court has declared internet streaming service Aereo as illegal. The court said that Aereo acts in violation of copyright law.
The court rejected an earlier appeals court decision, which had ruled the fledgling service did not breach broadcasters copyright. The ruling effectively means the court sees Aereo as similar to a cable company and, therefore, liable to pay for the content it broadcasts.
Aereo, which launched in 2012 in the New York area, has expanded across the US and is now available in cities including Atlanta, Boston, Denver, Houston and Miami.
It charges $8 per month for online access to local broadcast feeds over the internet, without paying re-transmission fees had gone to the Supreme Court in April to defend its right to exist in the face of copyright infringement suits from every major broadcaster who argued that because Aereo company broadcasts local feeds via the Internet without paying re-transmission fees, it’s essentially stealing their content.
Aereo counter-argued that because it provides dime-sized antennae to its subscribers it constitutes an over-the-air, rabbit ears-based service, which is exempt from re-trans fees. It has also argues that its content is delivered to a single cloud-based DVR device for one subscriber and can therefore not be categorised as a public broadcast service, subject to fees and regulations.
Broadcasters make hundreds of millions per month from re-transmission fees paid by cable companies. In a statement 21st Century Fox called the ruling a win for consumers that affirms important copyright protections.
Aereo founder Chet Kanojia called the decision a massive setback for the American consumer. Weve said all along that we worked diligently to create a technology that complies with the law, but todays decision clearly states that how the technology works does not matter.
He said it sent a chilling message to the technology industry and would continue to fight for our consumers and fight to create innovative technologies that have a meaningful and positive impact on our world.