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<b><i>Online Extra:</b></i><br>TV Networks Win Another Battle on Streaming
In another blow for the web TV industry, the U.S. Court of Appeals for the Ninth Circuit on March 21 ruled that Internet-based streaming services cannot retransmit network broadcasters' content at steeply discounted licensing rates without their permission.
The opinion by a unanimous panel of the Ninth Circuit comes after at least seven other federal district and appellate court decisions have similarly concluded that Web TV providers are not “cable systems” under the law and thus are not eligible for compulsory licenses to content.
It's a big-dollar issue for all sides. As the court noted in its decision, compulsory licenses allow cable systems to pay copyright holders a statutory “de minimis” amount of royalties to retransmit the content, especially compared to the money the cable industry rakes in from subscribers.
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