Supreme Court Rules Aereo’s TV Streaming Illegal
On June 25, 2014, the Supreme Court ruled that Aereo, an innovative internet TV streaming startup company, is violating copyright law – in a 6-3 decision. From the Supreme Court’s standpoint they believe that Aereo should have to pay fees to broadcasters, like any other cable or satellite company. The Boston Herald stated that the company is being sued by almost “every major broadcaster for its $8 per month streaming service, which took TV programs from the airwaves and allowed subscribers to watch them on smartphones, iPads, and even TVs with a Roku or Apple TV streaming device,”
Aereo’s argument is that their individual antennas that are given to subscribers, are similar to those used by home TV viewers to watch over-the-air broadcasts at no cost. Justice Stephen Breyer said, “Aereo’s system is, for all practical purposes, identical to a cable system.” Chet Kanojia, CEO of Aereo, has repeatedly stated that he does not have a Plan B in place for the company. This is not good news for Aereo and could mean a bitter end for their company.
What Does This Mean For Cloud Services or For You?
It seems that there is a gray area surrounding companies like Dropbox, Apple’s iCloud, and other services. The Supreme Court has raised many questions for companies – but there doesn’t appear to be many answers at this time.
This also raises a concern for customers – if they posess MP3s, ebooks, or copies of movies or TV shows, does this mean they own it? Or are they only considered owners of the digital copy? Or just the license?…Or will they too face copyright infringement claims? The answer is up in the air. Kanojia, said it “sends a chilling message to the technology industry,” causing our nation to gravitate towards a “permission-based system” of copyright – with no clear explanation of what is acceptable or not.
For now, it doesn’t seem that this decision will affect you or me. Marci Ryvicker, analyst of media cable companies for Wells Fargo Securities, said in a statement, “We anticipate broadcast networks and affiliates will be conducting ‘business as usual.'” However, what lies ahead is much uncertainty and so the cable vs. digital war continues!
Screen Shot of Aereo’s Home Page