Barry Diller's streaming video service Aereo continues to win its courtroom victories. Last year, a federal judge in New York rejected TV networks' request to prohibit the service from launching its new video-on-demand offering. Today the Second Circuit Court of Appeals has declined to issue an injunction that would have shut down Aereo, the streaming service that delivers broadcast signals to customers willing to pay $8 a month. Meanwhile, according to the Wall Street Journal, the company is bolstering its programming with ATnT, which is talking about packaging high speed Internet service with Aereo’s programming and Dish Network is looking at ways to use Aereo as a way of offering low-cost programing packages to its customers.
“Today’s decision from the Second Circuit Court of Appeals again validates that Aereo’s technology falls squarely within the law and that’s a great thing for consumers who want more choice and flexibility in how, when and where they can watch television,” said Chet Kanojia, Aereo CEO and Founder. “The ruling to uphold Judge Nathan’s decision sends a powerful message that consumer access to free-to-air broadcast television is still meaningful in this country and that the promise and commitment made by the broadcasters to program in the public interest in exchange for the public’s spectrum, remains an important part of our American fabric.”
Broadcasters have argued Aereo violates copyright rules by streaming over-the-air signals to customers so the court decision is a major set-back. Moreover, other pay TV distributors could be prompted to create similar services to avoid paying broadcasters retransmission consent fees. In the U.S. almost $2 billion dollars were paid by TV distributors last year for broadcast programming, up 33% over the prior year according to SNL Kagan. More: Deadline 04/01 - Aereo Exploring Alliances With Pay TV Distributors: WSJ Also See: SMM Post from 1/13/13 – Aereo: An Industry Disrupter!
UPDATE 04/03/13 - In a surprising move given
ongoing legal challenges between the respective services, FilmOn.TV founder and
CEO Alki David – the billionaire media entrepreneur – has congratulated the
legal team at Internet TV streaming service Aereo on what he describes as its
“hugely significant” win in court against the Major Networks… More: AdvancedTelevision 4/03 - FilmOn welcomes Aereo ruling