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Aereo Wins Round 2 With Broadcasters

New York — Aereo, the Barry Diller-backed Internet startup distributing local TV broadcasts online, won a federal appeals court ruling Monday that rejected a request from broadcasters and TV station owners to halt the service. 4/02/2013 06:53:00 AM Eastern

New York — Aereo, the Barry Diller-backed Internet startup distributing local TV broadcasts online, won a federal appeals court ruling Monday that rejected a request from broadcasters and TV station owners to halt the service.

The Second Circuit Appeals court voted 2 to 1 to deny a preliminary injunction motion filed by media companies including Disney, CBS and News Corp. The decision upheld a decision made last summer.

The court found for Aereo’s technology, which tunes local over-the-air TV broadcasts, and stores them on a computer before retransmitting them to online subscribers without paying broadcasters for the content.