Potential Game Changer: Time Warner Cable CEO Says If Aereo Ultimately Passes Legal Muster the MSO May Use 'Similar' Technology To Deliver Broadcast Signals to Its Cable Subs. Billions of Dollars in Retrans Fees Could be at Stake Washington Post
Glenn Britt, Time Warner Cable's chairman and CEO, "said his company may consider capturing television content from public airwaves and delivering them to customers over an Internet connection, a practice that has shaken the entertainment industry.," reports Cecilia Kang in the Washington Post.
Billions of dollars in retransmission fees could be at stake.
The story continues, "The idea was pioneered by a Web start-up called Aereo, whose business model sparked lawsuits from all of the nation’s broadcasters, including NBC, CBS, Fox and ABC. Their complaints in courts have failed" thus far.
The article adds, "The entry of Time Warner Cable into Aereo’s space would be a game changer, with broad implications for how television is created and delivered to households. Unlike Aereo, which serves only two markets, Time Warner is the country’s second-largest cable company and has broad influence over how TV content is delivered into millions of living rooms."
The piece then quotes Time Warner Cable chief Britt: " 'What Aereo is doing to bring broadcast signals to its customers is interesting,' Time Warner Cable chief executive Glenn Britt said in an interview. 'If it is found legal, we could conceivably use similar technology."
Currently cable operators pay big bucks in retransmission fees to broadcasters. Analsyts at SNL Kagan have predicted that by 2017 retrans fees could hit close to $5 billion.
To read more about Britt's interest in what Aereo is doing, we suggest you click on the link in the first paragraph, above, to read Kang's entire insightful article.