Free TV service Locast suspends operations after legal loss

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Locast, a service that streams local TV for free in nearly three dozen U.S. cities, is suspending operations after court losses against the broadcast industry.

Owners of the nation’s major broadcast TV networks – ABC, CBS, NBC and Fox – sued Locast in 2019, saying Locast was infringing on their copyrights and demanded the service’s shutdown.

Locast said it found a loophole in copyright law because it’s a nonprofit—it can stream ABC, CBS, NBC, and Fox networks without paying them. The companies that own the networks make billions of dollars a year from the cable companies that pay to include them in their TV packages.

But a federal judge in New York ruled on Tuesday that Locast is not protected by this exemption from copyright law. He said Locast effectively charges users and uses that money to expand its service, which it says is not allowed by law.

While Locast is free, users who don’t pay $5 a month will receive an ad asking for donations every 15 minutes.

The Electronic Frontier Foundation, the digital rights organization that defended Locast in court, said the judge was “artificially narrowly interpreting the law” and that Locast fulfilled Congress’ mission of giving Americans access to local broadcast stations.

Locast has been around for years, but it has flown under the radar as new streaming services come out that grab people’s attention. The EFF said it has more than 3 million users.

“As a nonprofit, Locast has been designed from the very beginning to operate in accordance with the strict guidelines of the law, but in response to the court’s recent decisions with which we respectfully disagree, we are suspending operations with immediate effect,” the company said in a press release Thursday.

EFF attorney Mitch Stoltz said the legal case, including appeals, will continue to resolve remaining issues. He did not specify what these problems were.

Major broadcast networks are also available for free in other forms, such as a TV antenna you can buy for under $10.

A lawyer for TV networks did not immediately respond.

Disney ABC is owned by ViacomCBS, CBS is owned by Comcast, NBCUniversal is owned by NBC, and Fox Corp. He owns Fox.

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