Aereo CEO on Bundles and Fees

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More power to Aereo … I’ve played with a demo account and it works quite well. Tempting even.

Ad Age: So broadcasters shouldn’t have dual revenue streams, like cable channels?

Mr. Kanojia: I don’t know their business at all. All I know is the current paradigm is this: They have [broadcast] spectrum. They are required to program in the public interest and to offer it widely for free. You are allowed to have an antenna. There is no prohibition on where you have it; it can be on your roof, your window or 50 feet away; in my computer or in the cloud. Tell me what the dispute is? Because you didn’t see it coming? That is really what it is.

Ad Age: But since fees are so important to broadcast now, why shouldn’t they fight it?

Mr. Kanojia: Technology catches up. When the VCR came out there was the same hyperbole: It’s going to kill television. They made billions. It spawned a whole industry of home video. These technologies [Aereo] are single-cast, they know where you are. I think they are just ignoring that technologies like these are immensely helpful in attracting younger audiences and are helpful in creating new ad models.

via Advertising Age

2 thoughts on “Aereo CEO on Bundles and Fees”

  1. The kooky thing is that the system is designed to avoid copyright issues. The idea of assigning each customer an antenna is stupid; why not bring it in on one antenna and split it out for all customers? They needed the one antenna per customer to avoid getting sued for reselling the broadcast. Techdirt did a good job covering the case. I think the CEO’s line about the VCR hyperbole (Jack Valenti’s great Boston strangler quote) will be quite effective. And why do the networks care anyway? The streams still have the commercials. This is a pure money grab by the networks.

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