Aereo Hits ‘Pause’ After SCOTUS Ruling

/ Jun 28, 2014

aereo

Aereo is no more — maybe. The well-funded startup has elected to shut down its streaming service as it explores potential next steps after the Supreme Court ruled that its business violated copyright law.

In a blog post, Aereo CEO Chet Kanojia echoed statements he made earlier this week — right after the SCOTUS ruling — that he and the company weren’t giving up the fight. “Our case has been returned to the lower Court,” he said. But for now, the company has “decided to pause our operations temporarily as we consult with the court and map out our next steps.”

Aereo’s service hinges on warehouses of tiny antennas that capture broadcast TV signals and stream via the cloud to multiple digital devices. The company has become an enemy of broadcast companies, which want Aereo to pay retransmission fees like the cable providers. The Supreme Court ruled that Aereo was close enough to a cable company that it needed to pay content owners.

Before the SCOTUS ruling, Aereo investor Barry Diller said that a victory for the broadcasters would mean the end for the streaming service.

And it probably is. But for now, Aereo isn’t giving up. “Keep your voices loud and sign up for updates at ProtectMyAntenna.org — our journey is far from done,” Kanojia said.

The company has raised close to $100 million from investors including Diller.

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