Monday, November 24, 2014
FAIRFIELD-SUISUN, CALIFORNIA
99 CENTS

Justices rule for broadcasters in fight with Aereo

By
From page A10 | June 26, 2014 |

WASHINGTON — The Supreme Court ruled Wednesday that a startup Internet company has to pay broadcasters when it takes television programs from the airwaves and allows subscribers to watch them on smartphones and other portable devices.

The justices said by a 6-3 vote that Aereo Inc. is violating the broadcasters’ copyrights by taking the signals for free. The ruling preserves the ability of the television networks to collect huge fees from cable and satellite systems that transmit their programming.

Had services such as Aereo been allowed to operate without paying for the programming, more people might have ditched their cable services, meaning broadcasters would have been able to charge less for the right to transmit their programs.

Aereo looks a lot like a cable system, Justice Stephen Breyer wrote for the court in rejecting the company’s attempts to distinguish itself from cable and satellite TV. “Aereo’s system is, for all practical purposes, identical to a cable system,” he said.

Aereo is available in New York, Boston, Houston and Atlanta among 11 metropolitan areas and uses thousands of dime-size antennas to capture television signals and transmit them to subscribers who pay as little as $8 a month for the service. Because each subscriber is temporarily assigned a dime-sized, individual antenna, Aereo had made the case that it wasn’t like a cable company and wasn’t doing anything customers couldn’t do on their own at home.

Breyer seemed to suggest the company was too-cute-by-half as he announced the opinion.

He laid out the company’s argument that its tiny antennae don’t really transmit to the public and then said, “Hmmm,” followed by a long pause. Then he added: “Well, we think that this argument makes too fine a point.”

Company executives and prominent investor Barry Diller have said their business model would not survive a loss at the Supreme Court.

Aereo chief executive Chet Kanojia called the decision “a massive setback for the American consumer” and said the company would continue to fight, without being specific.

“We’ve said all along that we worked diligently to create a technology that complies with the law, but today’s decision clearly states that how the technology works does not matter. This sends a chilling message to the technology industry,” Kanojia said in a statement.

Some justices worried during arguments in April that a ruling for the broadcasters could also harm the burgeoning world of cloud computing, which gives users access to a vast online computer network that stores and processes information.

But Breyer said the court did not intend to call cloud computing into question.

Justices Antonin Scalia, Samuel Alito and Clarence Thomas dissented. Scalia said he shares the majority’s feeling that what Aereo is doing “ought not to be allowed.” But he said the court has distorted federal copyright law to forbid it.

Congress should decide whether the law “needs an upgrade,” Scalia said.

Broadcasters including ABC, CBS, Fox, NBC and PBS sued Aereo for copyright infringement, saying Aereo should pay for redistributing the programming in the same way cable and satellite systems must or risk high-profile blackouts of channels that anger their subscribers.

The National Association of Broadcasters praised the court for rejecting Aereo’s argument that the lawsuit was an attack on innovation. “Broadcasters embrace innovation every day, as evidenced by our leadership in HDTV, social media, mobile apps, user-generated content, along with network TV backed ventures like Hulu,” NAB president Gordon Smith said.

The broadcasters and professional sports leagues also feared that nothing in the case would limit Aereo to local service. Major League Baseball and the National Football League have lucrative contracts with the television networks and closely guard the airing of their games. Aereo’s model would pose a threat if, say, a consumer in New York could watch NFL games from anywhere through his Aereo subscription.

The federal appeals court in New York ruled that Aereo did not violate the copyrights of broadcasters with its service, but a similar service has been blocked by judges in Los Angeles and Washington, D.C.

The 2nd U.S. Circuit Court of Appeals said its ruling stemmed from a 2008 decision in which it held that Cablevision Systems Corp. could offer a remote digital video recording service without paying additional licensing fees to broadcasters because each playback transmission was made to a single subscriber using a single unique copy produced by that subscriber. The Supreme Court declined to review that ruling.

In the Aereo case, a dissenting judge said his court’s decision would eviscerate copyright law.

Judge Denny Chin called Aereo’s setup a sham and said the individual antennas are a “Rube Goldberg-like contrivance” — an overly complicated device that accomplishes a simple task in a confusing way — that exists for the sole purpose of evading copyright law.

Smaller cable companies, independent broadcasters and consumer groups backed Aereo, warning the court not to try to predict the future of television.

Indeed, Scalia himself noted that the high court came within a vote of declaring videocassette recorders “contraband” when it ruled 5-4 for Sony Corp. in a case over recordings of television programs 30 years ago.

The case is ABC v. Aereo, 13-461.

 

The Associated Press

The Associated Press

LEAVE A COMMENT

Discussion | 1 comment

The Daily Republic does not necessarily condone the comments here, nor does it review every post. Read our full policy

  • Recent Articles

  • Enter your email address to subscribe and receive notifications of new posts by email.

  • .

    Solano News

    Cadets raise cash to help wounded Air Force veteran

    By Ian Thompson | From Page: A1 | Gallery

     
    Solano cities gather for Thanksgiving meal

    By Tony Wade | From Page: A2

     
    Food Addicts group sets Thanksgiving Day meet

    By Susan Hiland | From Page: A3

    Local government board schedules meeting

    By Susan Hiland | From Page: A3

     
    Turkey Trot returns Thanksgiving Day

    By Glen Faison | From Page: A3

    Holiday tree-lighting events begin

    By Glen Faison | From Page: A3

     
    Holiday boutiques in full swing

    By Susan Winlow | From Page: A3 | Gallery

     
    .

    US / World

    Anxieties mount as Ferguson waits on grand jury

    By The Associated Press | From Page: A1

     
    3 months after Napa quake, recovery rolling

    By The Associated Press | From Page: A1

    US looking past Ebola to prepare for next outbreak

    By The Associated Press | From Page: A1

     
    San Jose police arrest man after airport chase

    By The Associated Press | From Page: A4

    Surfer missing off beach south of San Francisco

    By The Associated Press | From Page: A4

     
    Thief suspect falls through ceiling, leaves phone

    By The Associated Press | From Page: A4

    1 killed, dozens injured in California bus crash

    By The Associated Press | From Page: A4

     
    Boy with fake gun dies after shot by Ohio officer

    By The Associated Press | From Page: A5

    Israeli Cabinet moves to define Israel as Jewish

    By The Associated Press | From Page: A5

     
    Former DC Mayor Marion Barry dies at 78

    By The Associated Press | From Page: A5

    Islamic State group recruits, exploits children

    By The Associated Press | From Page: A5

     
    Giffords rides in Tucson cycling event

    By The Associated Press | From Page: A5

    Suicide bomber kills at least 45 Afghans

    By The Associated Press | From Page: A5

     
    Some 30 horses die in stable fire outside Chicago

    By The Associated Press | From Page: A5

    Crew blasts off for International Space Station

    By The Associated Press | From Page: A5

     
    US tells Iran to consider nuclear talks extension

    By The Associated Press | From Page: A5

    Damage worse than thought in Japanese earthquake

    By The Associated Press | From Page: A5

     
    Joey Chestnut devours turkey to win eating contest

    By The Associated Press | From Page: A5

    Strong quake in west China kills 5; 54 hurt

    By The Associated Press | From Page: A5

     
    Health care M&A leads global deal surge

    By The Associated Press | From Page: A9

    .

    Opinion

     
    Does D stand for deliberate, deception, denial?

    By Colleen Britton | From Page: A8

    OMG, am I eating a GMO?

    By Mike Kirchubel | From Page: A8

     
    .

    Living

    Today in History: Nov. 24, 2014

    By The Associated Press | From Page: A2

     
    Community Calendar: Nov. 24, 2014

    By Susan Hiland | From Page: A2

     
    Horoscopes: Nov. 25, 2014

    By Holiday Mathis | From Page: B5

    My sister-in-law expects me to pay her for damages, but she won’t pay me

    By Kathy Mitchell and Marcy Sugar | From Page: A7

     
    Horoscopes: Nov. 24, 2014

    By Holiday Mathis | From Page: A7

    .

    Entertainment

    ‘Mockingjay, Part 1′ opens with $123 million

    By The Associated Press | From Page: B6

     
    TVGrid Nov 25

    By Daily Republic Syndicated Content | From Page: B6

    List of winners of the American Music Awards

    By The Associated Press | From Page: B6

     
    1D, Katy Perry win big at American Music Awards

    By The Associated Press | From Page: B6

    TVGrid Nov 24

    By Daily Republic Syndicated Content | From Page: A9

     
    .

    Sports

     
    Speights scores 28 as Warriors hold off Thunder

    By The Associated Press | From Page: B1 | Gallery

    Hyde scores go-ahead TD, lifts 49ers past Redskins

    By The Associated Press | From Page: B1 | Gallery

     
    Federer leads Swiss past France for Davis Cup

    By The Associated Press | From Page: B1 | Gallery

    Hamilton answers Rosberg in style to clinch title

    By The Associated Press | From Page: B1 | Gallery

     
    Stacy Lewis sweeps 3 biggest LPGA awards

    By The Associated Press | From Page: B2

    UCLA honors Robinson, retires No. 42 for all teams

    By The Associated Press | From Page: B2

     
    Katy Perry to perform at Super Bowl halftime show

    By The Associated Press | From Page: B2

    NFL roundup: Seahawks roll past Cardinals

    By The Associated Press | From Page: B2 | Gallery

     
    Athletics acquire 1B Ike Davis from Pirates

    By The Associated Press | From Page: B2

    Revs win 2-1 at Red Bulls in East final 1st leg

    By The Associated Press | From Page: B2

     
    Sarvas puts Galaxy past Seattle 1-0 in West opener

    By The Associated Press | From Page: B2

    First lady attends Princeton women’s hoops game

    By The Associated Press | From Page: B2

     
    This date in sports history for Monday, Nov. 24, 2014

    By The Associated Press | From Page: B3

     
    .

    Business

    .

    Obituaries

    Leslie “Esi” Gros

    By Nancy Green | From Page: A4

     
    Jack I. Johnson

    By Glen Faison | From Page: A4

    Dorothy Pouge Arnold

    By Nancy Green | From Page: A4

     
    Arthur Irving Weiner

    By Nancy Green | From Page: A4, 1 Comment

    .

    Comics

    Get Fuzzy Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    Baldo Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Garfield Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    Frank and Ernest Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Wizard of Id Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    Baby Blues Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Pickles Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    For Better or Worse Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Dilbert Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    Blondie Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Rose is Rose Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    Zits Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Peanuts Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    Beetle Bailey Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Sally Forth Nov 25

    By Daily Republic Syndicated Content | From Page: B4

     
    B.C. Nov 25

    By Daily Republic Syndicated Content | From Page: B4

    Sudoku Nov 25

    By Daily Republic Syndicated Content | From Page: B5

     
    Cryptoquote Nov 25

    By Daily Republic Syndicated Content | From Page: B5

    Word Sleuth Nov 25

    By Daily Republic Syndicated Content | From Page: B5

     
    Crossword Nov 25

    By Daily Republic Syndicated Content | From Page: B5

    Bridge Nov 25

    By Daily Republic Syndicated Content | From Page: B5

     
    B.C. Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Garfield Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    Baby Blues Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Dilbert Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    Rose is Rose Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Frank and Ernest Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    Peanuts Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Beetle Bailey Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    Pickles Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Wizard of Id Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    Sally Forth Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Baldo Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    Get Fuzzy Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Zits Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    For Better or Worse Nov 24

    By Daily Republic Syndicated Content | From Page: A6

    Blondie Nov 24

    By Daily Republic Syndicated Content | From Page: A6

     
    Cryptoquote Nov 24

    By Daily Republic Syndicated Content | From Page: A7

    Word Sleuth Nov 24

    By Daily Republic Syndicated Content | From Page: A7

     
    Crossword Nov 24

    By Daily Republic Syndicated Content | From Page: A7

    Bridge Nov 24

    By Daily Republic Syndicated Content | From Page: A7

     
    Sudoku Nov 24

    By Daily Republic Syndicated Content | From Page: A7