aereo

An Indian-American innovator's video streaming service called - Aereo, suspends its operations yesterday, the internet TV startup suspensions is a result of United States Supreme Court decision to reverse the lower court decision which was in favor of Aereo, this decision gave a setback to the company.

Launched in 2012, Aereo is a technology company based in New York City that allowed subscribers to view live and time-shifted streams of over-the-air television on Internet-connected devices.

The US Supreme Court had ruled on Wednesday that Aereo had violated copyright laws by capturing broadcast signals on miniature antennas and transmitting them to subscribers for a fee.

Just after the decision CEO of Aereo - Chaitanya Kanojia posted a letter on website home page for its consumers - "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. All of our users will be refunded their last paid month."

How Aereo services work

Major US cable broadcasters including ABC, CBS and Fox approached the Supreme Court, alleging that Aereo was an infringement on the current copyright laws. The broadcaster argued that Aereo's business model violated copyright laws and was a high-tech way to steal their programmes. Aereo countered that its service was a digital-age solution for watching free over-the-air broadcasting.

Aereo had fewer than 500,000 subscribers in about a dozen metropolitan areas. Aereo's customers used to pay $8 to $12 a month to rent one of Aereo's dime-size antennas that captured over-the-air television signals.

Aereo was using technology combining the well-known consumer antenna and DVR and the power of the Internet and cloud computing. It was actually providing a consumer the ability to use a remotely located individual antenna to access free-to-air broadcasts, make a personal copy of a program on a remote DVR and play back that copy only to him or herself. Using the cloud, Aereo was able to develop a smarter, more sophisticated antenna, purpose-built for the 21st century consumer.

How Aereo disrupt TV industry

However, the broadcasters on other hand are asking the Court to deny consumers the ability to use the cloud to access a more modern-day television antenna and DVR in order to protect what they believe are their most lucrative business models.

Aereo has even created a website called - ProtectMyAntenna.org, to provide information about these very important issues. It comprises various court briefs including ones written by policy and industry thought leaders such as the Consumer Electronics Association, Electronic Frontier Foundation, Computer & Communications Industry Association, Public Knowledge, the Center for Democracy in Technology and others.
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