This is the first setback for the company and a victory for the broadcasters that try to stop the expansion of the disruptive streaming video service.
The verdict comes as a surprise as the US Supreme Court agreed in January to rule on Aereo’s legality in April. However, the federal judge in Utah agreed to the broadcasters’ request for a preliminary injunction that would end the plans of Aereo launching in the Salt Lake City and Denver markets.
“We are extremely disappointed that the District Court in Utah has chosen to take a different path than every other Court that has reviewed the Aereo technology,” said Aereo founder and CEO Chet Kanojia in a statement.
“Consumers have a fundamental right to watch over the air broadcast television via an antenna and to record copies for their personal use. The Copyright Act provides no justification to curtail that right simply because the consumer is using modern, remotely located equipment.
“We are very sorry for the effect on our valued customers in the Tenth Circuit and we will pursue all available remedies to restore their ability to use Aereo.”