Jan 7 Aereo Inc, the Barry Diller-backed online
television venture that is facing a legal battle from four major
broadcasters said it had raised $34 million from its new round
New investors included Gordon Crawford and Himalaya Capital
Management, who joined Aereo's existing investors, Diller's
IAC/InterActiveCorp, Highland Capital Partners,
FirstMark Capital, among others.
Walt Disney Co's ABC network, CBS Broadcasting Inc
, Comcast Corp's NBCUniversal, and Fox
Television Stations Inc claim Aereo's streaming service
Aereo charges a low monthly fee to watch live or recorded
broadcast TV channels on computers or mobile devices and does
not pay the broadcasters, while pay-TV operators, such as
Cablevision Systems Corp and Comcast, have to pay
billions in retransmission consent fees.
In October, broadcasting networks, including Disney and
Comcast's NBCUniversal, who want to shut down the Internet TV
startup, filed a lawsuit arguing that Aereo steals copyrighted
In April 2013, the 2nd U.S. Circuit Court of Appeals denied
the broadcasters' request to shut Aereo while litigation moved
forward. The broadcasters then appealed against the verdict in
the U.S. Supreme Court in October 2013.
Aereo said it will use the current financing to expand its
services nationwide. The company intends to grow to five
additional markets by the end of first quarter.