Article

Streaming Revolution

Changing Viewer Expectations Mean Big Changes for the TV Business

By Devin Felix

May 8, 2014

Aereo ceased operations in Utah and Colorado in February after U.S. District Court Judge Dale A. Kimball ruled against the company in a case brought against it by local TV stations KUTV Channel 2 and KSTU Fox 13. The stations argued that Aereo violates copyright law because it doesn’t pay the same fees paid by cable and satellite companies for the right to rebroadcast their content. Aereo argues that it doesn’t infringe on copyright because it’s not actually rebroadcasting anything. Instead, Lam says, the company provides a service that allows consumers to access and use a remotely located antenna, just as they would for free with an antenna in their own home.

Aereo’s argument held up earlier in court in similar suits brought against it in Boston and New York City. The stations in New York who lost the case appealed, and the U.S. Supreme Court agreed to hear the case. Oral arguments took place April 22 and a ruling is expected sometime in the next few months. Lam says if the court rules in favor of Aereo, the company will restart its Utah operations and continue opening in new markets across the country. It has launched in 13 markets so far and is currently operational in all but Utah and Colorado.

Regardless of the outcome of the Supreme Court case, the trend toward watching video over the internet seems certain to continue, across the country and particularly in tech-savvy Utah. Ashdown says the state has a higher-than-average rate of home broadband internet penetration, which also means a higher portion of the state subscribes to Netflix.

Lam says high level of internet connectedness was a major reason Aereo chose Utah as one of its first markets, as well as a high number of video-capable mobile devices. She declined to give precise numbers on how many Utahns signed up for Aereo during the six months it was in operation, but the initial response was “overwhelming,” she says. “It made a lot of sense to come to Utah.”  

Page 12
Utah Business Social
UB Events View All
Fast 50 Utah Business Event
Aug 27, 2015
The top 50 companies will be selected based on a combination of revenue growth and revenue genera...
Job Summit - POSTPONED UNTIL FALL 2015 Utah Business Event
Sep 24, 2015
NOTE: The date listed below is not secured. We will update as the event gets closer. Thank you ...
Community Events View All
WorldQuest International Trivia Competition
Jul 31, 2015
Join us for Utah's WorldQuest - an international trivia competition! WorldQuest challenges you to...
Real Pirates
Aug 1, 2015
Batten Down the Hatches….the Pirates are Here! Listen up, you salty sea dogs! Real Pirates is...

info@utahbusiness.com  |  90 South 400 West, Ste 650 Salt Lake City, Utah 84101   |  (801) 568-0114

Advertise with Utah Business

Submit an Event

* indicates required information
* Event Name:
Price (general):
Website (if applicable):
Coordinator's Name:
Coordinator's Email:
Coordinator's Phone:
Venue Name:
Venue Address:
Venue City:
Venue Zip:
Event Capacity:
Date(s):
to
* Event Description:
  Cancel