US Judge Says Internet Streaming Service Should Be Treated Like Cable

US District Judge George Wu in Los Angeles ruled that online television service FilmOn X should be treated like a traditional cable system in order to transmit the programs of the nation’s broadcasters over the Internet. The ruling, coming as consumer TV-watching habits are increasingly migrating to the Internet, is the first to first to view a streaming service like a cable provider and could have major implications for broadcasters if it is upheld by higher courts.

Judge Wu ruled that FilmOn X is entitled to a compulsory license under the Copyright Act to retransmit the broadcasters’ programs if it meets the law’s requirements. Acknowledging the major commercial consequences of his decision, Judge Wu said he would allow an immediate appeal to the 9th U.S. Circuit Court of Appeals. He also left in place an injunction against FilmOn X’s operations that the broadcasters had won in 2012, so FilmOn will still not able to stream their content pending the appeal.

John Bergmayer, Senior Staff Attorney at Public Knowledge, said, "If upheld, this decision could help bring more competition to the video marketplace. Similar services shouldn't be subject to totally different rules depending on whether they’re offered over coaxial cable, fiber, satellite transmissions, or online.”