Aereo Inc., the online video streaming service backed by businessman and Television Hall of Fame member
The service had allowed subscribers to watch, pause and record live TV on their computers. In June, the Supreme Court ruled that the start-up violated copyright law because it was similar to a cable service, but wasn't paying to transmit copyrighted material. The company argued that it was an antenna service and did not have to comply with copyright law.
The 6-3 decision in the case of
Aereo Chief Executive Chet Kanojia wrote on the company's website on Friday that the ruling has created "regulatory and legal uncertainty," and "without that clarity, the challenges have proven too difficult to overcome."
Kanojia said that the Chapter 11 filing will allow Aereo Inc. to maximize the value of its business while avoiding the cost and distraction of litigation.