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Friday, August 16, 2013

Cloud-based TV Startup May Pose Threat To Basic Cable

Advertisers now have the ability to target their TV ads to specific households, based on customer data. (AP/Ann Heisenfelt)

(AP/Ann Heisenfelt)

An Internet-based company called Aereo is disrupting the way people watch television, and networks are not happy.

Aereo provides its subscribers with a tiny, TV antenna to pick up broadcast signals from network stations, and streams television content to their wireless devices.

Aereo is already in New York, Boston, and Atlanta, and it is coming to Utah on Monday. Houston, Dallas, and Detroit will also pick up Aereo in a couple of weeks.   

Network stations have sued Aereo, alleging the service distributes their content without a license, and without the consent of the television signals’ owners.

Now basic cable companies are feeling the heat.

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