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A New York judge denied an injunction against the streaming service, Aereo, Wednesday.
Some, including the major networks, had argued that the service violated its copyrights and threatened the TV business.
“Of course I’m happy the judge denied the injunction, and now we can really begin telling television consumers they have an alternative," said Aereo's primary financial backer, Barry Diller.
The company argues that its system creates unique, user-requested copies that are transmitted only to the particular user that created them and that it is nonpublic.
"Contrary to Plaintiffs' arguments, the copies Aereo's system creates are not materially distinguishable from those in Cablevision, which found that the transmission was made from those copies rather than from the incoming signal," Judge Alison Nathan wrote.
New York residents currently pay $12 a month for the service.
The Fox, PBS, Tribune, WNET and Univision networks issued this statement:
"Today’s decision is a loss for the entire creative community. The judge has denied our request for preliminary relief - ruling that it is ok to misappropriate copyrighted material and retransmit it without compensation. While we are disappointed, we will continue to fight to protect our copyrights and expect to prevail on appeal."