News

Supreme Court rules against online TV company Aereo

Supreme Court rules against online TV company Aereo

AEREO TV:Chet Kanojia, the founder and CEO of Aereo, speaks during an interview. Photo: Associated Press

By Lawrence Hurley

WASHINGTON (Reuters) – The U.S. Supreme Court on Wednesday ruled that online TV service Aereo Inc, backed by media mogul Barry Diller, violates copyright law by using tiny antennas to provide subscribers with broadcast network content via the Internet.

On a 6-3 vote, the court handed a victory to the four major TV broadcasters and cast Aereo’s immediate future into doubt.

The court said the service constitutes a public performance of copyrighted content. For the networks, the victory protects the estimated $3 billion in so-called retransmission fees that broadcasters get from cable and satellite TV systems.

Justice Stephen Breyer said in the majority opinion that the ruling should not spell trouble for cloud-based content services in which personal files – including TV shows and music – are stored remotely on the Internet on servers from companies such as Google Inc, Microsoft Corp, DropBox Inc and Box Inc.

Aereo had argued that cloud services use the Internet in the same way as it does to store and transfer copyrighted content.

The case came before the court when Walt Disney Co’s ABC network, CBS Corp, Comcast Corp’s NBCUniversal and Twenty-First Century Fox Inc appealed a decision by the 2nd U.S. Circuit Court of Appeals in April 2013 that denied their request to shut Aereo down while litigation moves forward.

Aereo, backed by Barry Diller’s IAC/InterActiveCorp, charges users a low monthly fee to watch live or recorded broadcast TV channels on computers or mobile devices. Aereo does not pay the broadcasters.

(Reporting by Lawrence Hurley; Editing by Howard Goller and WIll DUNham)

Recent Headlines

in Entertainment

It’s gonna cost more to rent at Redbox

redbox

Prices for renting movies and video games will increase starting next week.

in National

Grand jury reaches decision in Michael Brown shooting

michaelbrown

An announcement on whether a grand jury has indicted a white police officer in the fatal shooting of an unarmed black teenager is expected this afternoon.

in Local Sports

AP Source: Seager, M’s agree on $100M, 7-year deal

Seattle Mariners' Kyle Seager hits a three-run go-ahead home run in the eighth inning of a baseball game against the Texas Rangers, Sunday, April 27, 2014, in Seattle.

SEATTLE (AP) — Kyle Seager has cashed in on the best season of his young career, becoming the third Seattle…

in Sports

FSU remains No. 1

floridastate

Florida State remains No. 1 with Alabama No. 2, Oregon third and Mississippi State fourth.

in National

Hagel resigns as Defense Secretary

hagel1

Hagel was appointed less than two years ago as Obama pushed his signature program of winding up wars in Afghanistan and Iraq.