Justices rule for broadcasters in fight with web startup

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.

Aereo is available in New York, Boston 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.

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 Justice Stephen Breyer in his majority opinion that the court did not intend to call cloud computing into question.

Justices Antonin Scalia, Samuel Alito and Clarence Thomas dissented.

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

Aereo’s service starts at $8 a month and is available in New York, Boston, Houston and Atlanta, among 11 metropolitan areas. Subscribers get about two dozen local over-the-air stations, plus the Bloomberg TV financial channel.

In each market, Aereo has a data center with thousands of dime-size antennas. When a subscriber wants to watch a show live or record it, the company temporarily assigns the customer an antenna and transmits the program over the Internet to the subscriber’s laptop, tablet, smartphone or even a big-screen TV with a Roku or Apple TV streaming device.

The antenna is only used by one subscriber at a time, and Aereo says that’s much like the situation at home, where a viewer uses a personal antenna to watch over-the-air broadcasts for free.

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.

.

More in Local News

These little piggies stay home

Norman, who was spotted last week in Everett, is part of a trio kept as pets by the “pig whisperer.”

Cheering families welcome Kidd, Shoup after 6 months at sea

“I get back Daddy back today,” said one homemade sign at Naval Station Everett.

Stanwood man, 33, killed in crash near Marysville

Speed may have been a factor, the sheriff’s department said.

Street-legal ATVs approved for some roads near Sultan

Supporters foresee tourism benefits. Opponents are concerned about injury and pollution risks.

Jamie Copeland is a senior at Cedar Park Christian Schools’ Mountlake Terrace campus. She is a basketball player, ASB president, cheerleader and, of course, a Lion. (Dan Bates / The Herald)
Cedar Park Christian senior stepping up to new challenges

Jamie Copeland’s academics include STEM studies, leadership, ASB activities, honor society.

Woman, 47, found dead in Marysville jail cell

She’d been in custody about four days after being arrested on warrants, police said.

County plans to sue to recoup costs from ballot drop-box law

A quarter-million dollars could be spent adding 19 ballot boxes in rural areas.

Providence Hospital in Everett at sunset Monday night. Officials Providence St. Joseph Health Ascension Health reportedly are discussing a merger that would create a chain of hospitals, including Providence Regional Medical Center Everett, plus clinics and medical care centers in 26 states spanning both coasts. (Kevin Clark / The Daily Herald)
Merger would make Providence part of health care behemoth

Providence St. Joseph Health and Ascension Health are said to be talking. Swedish would also be affected.

5 teens in custody in drug-robbery shooting death

They range in age from 15 to 17. One allegedly fatally shot a 54-year-old mother, whose son was wounded.

Most Read