FCC just might let Aereo be a cable company after all (if they don’t go out of business first).

Aereo

As I have previously written, I was an Aereo subscriber until a number of court rulings led it to shut down, at least temporarily. However, the FCC is considering rule changes to allow Aereo, and other online providers of broadcast channels to legally exist. The saga known as Aereo currently stands as follows:

1. Aereo was determined to be breaking the law by transmitting broadcast TV signals to paying customers without permission of those broadcasters. The Supreme Court ruled that Aereo was acting like a cable company, providing TV channels to subscribers for a fee.

2. A number of lower courts ruled that Aereo could not legally be a cable company, because they didn’t provide actual cable wire or satellite in customers homes.

The rules and laws that currently answer the question “What is a cable company?” are clearly in the favor of the status quo cable/satellite/telco companies that don’t want to lose their legacy subsciption businesses.

The success of Netflix, Hulu, Amazon, etc. has shown there is a market for “TV” available online. With Dish Network negotiating to launch a digital “cable” service (and enduring negotiation issues with Turner over some rights), it may become a reality soon.

With Aereo laying off employees, including their entire Boston-based staff, they may not neccesarily still exist by the time they become legal, but digital multichannel video services may soon, legally become a reality.

Slingbox is legal but Aereo isn’t?

Aereo doesn't work anymore...
Aereo doesn’t work anymore…

The Supreme Court ruled that Aereo is illegal, and violated copyright laws.  The winning argument was that Aereo was rebroadcasting broadcast TV over the Internet without the permission of those stations.

However, since Slingbox, which has been around for a decade is legal, and Aereo is not, I am confused.

Slingbox is a device that plugs into a cable box (and or TV antenna) and broadband router, and lets people watch that broadcast content over the Internet.

Theoretically, one could rent an apartment or hotel, pay for Internet access and a TV antenna, plug it into a router, and never actually live there, yet have live broadcast TV over the Internet.  Essentially, that’s how Aereo was run.

However, since such a service was designed to serve many customers, the Supreme Court classified Aereo in the same level as a cable provider, and would have to pay cable companies fees that they successfully negotiate with each other (not a sure thing), if they want to continue to exist.

So, Aereo-like services are now only legal (for now), if they are private.  I guess I need a device like Simple TV if I want to stream broadcast TV to my Roku and mobile devices…