Score One for Big Cable

Atlanta-AereoIn the same way any strategy which relies on your soccer team figuring out how to get past Germany to continue in the World Cup so any new media strategy which relies on the Supreme Court letting you loosely interpret laws is likely to run into difficulties. So is was with a real sense of sadness that I watched the Supreme Court finish of the Aereo business model with a crushing 6-3 defeat today…if that were soccer half the crowd would be gleefully chanting “slaughter” at the top of their drunken voices.

What is it and why do you care? Here’s why….this week my Verizon contract is up. I have Fios Internet and TV a DVR and three set top boxes and that costs a shade under $200 a month. I also pay for Hulu Plus, Netflix and Amazon Prime to the tune of another $20 per month. I can get pretty much all the TV I watch minus the live broadcast of the big 5  for just the $20 I pay to Netflix and Hulu Plus and Amazon.  With the smart antenna offered by Aereo i could plug that into a laptop get the big five over the air broadcast on the rare occasions I watch them and cut the cable bill down to  only $25 a month. All in I’d get pretty much all I watch for $50 total.

The supreme court ruled that Aereo was essentially turning an over the air free signal into a public performance which meant they would have to pay royalties. That shut the entire venture down. It’s a pity but given the lobbying power of the cable industry not much of a surprise. A time is coming when the ad soaked garbage put out by the big five will reach a point where many perhaps most of us will simply cut the cable and we will make do with the great independent programming and content we can get through places other than the big cable companies.  This decision has perhaps pushed that a little further into the future…but it’s coming.

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