Aereo Drops Video Price, Extends Metro Reach

by Wayne Friedman , May 13, 2013

Guy-watching-Video-on-Computer- Controversial Internet-based video provider Aereo will be making it easier for consumers to consider their service -- dropping its price to $8 a month from $12.

The new plan, which goes into effect on May 15, gives customers over-the-air channels and 20 hours of cloud-based DVR storage. For another $4 a month, customers can get 60 hours of time-shifted storage.

By way of comparison, many cable, satellite and telco multichannel programming services offer 100 to 300 hours of time-shifting -- with HD quality.

Aereo, which is only in New York City and will start up in Boston on May 15, will allow existing users who are paying $12 per month to opt into the new plan or automatically be updated to receive 60 hours of DVR storage.

All new Aereo consumers will receive their first month of membership for free.

By the end of the year, Aereo plans to expand into 21 additional markets, including Miami, Atlanta, Chicago, Dallas, Houston, Washington, D.C., Baltimore, Detroit and Denver.

Though the over-the-top service has won several key court decisions, many broadcasters look to continue to fight the service. Broadcasters believe their copyrighted content is being taken by Aereo illegally. Recently, CBS has said it will follow Aereo with legal efforts in whatever markets it expands to.

broadcasting, internet, iptv, tv

2 comments about "Aereo Drops Video Price, Extends Metro Reach".

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Doug Garnett from Protonik, LLC, May 13, 2013 at 2:54 p.m.
Another loophole online effort...exploiting loophole in content laws to mislead consumers with the idea that content can be nearly free. Sad. And eventually doomed to failure or to make a Netflix like decision to abandon what they told consumer they were and become a program developer.
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Michael Kilgore from FTABlog.com, May 13, 2013 at 4:30 p.m.

Next, the broadcasters will probably go after Slingbox. How offended they must be that I can watch TV from my house's rooftop antenna even though I'm traveling in another state! Or maybe they'll go after the over-the-air antenna people for encouraging viewers to circumvent retransmission fees by watching OTA for free.

Seriously, the deal is that broadcasters get a huge chunk of spectrum for next to nothing, in exchange for serving their viewing public. You know, the folks who own that spectrum. If broadcasters want to walk away from that deal, we'll find other stations to take their place or other technologies to take their bandwidth.