Light Reading

Aereo Hits Capacity Crunch Again

Mari Silbey
2/5/2014
50%
50%

So what's the deal with Aereo lately?

In a sign that snow isn't the only thing sweeping down the US East Coast this winter, Aereo Inc. 's capacity issues are also moving south. Aereo has confirmed that, just as in New York, it isn't signing up any new customers in the Atlanta region until it can add more capacity. (See Aereo Preps San Antonio, Hits Capacity in NYC.)

It's not clear, however, exactly what capacity means to Aereo. We asked the company whether the problem was a need for more antennas, encoding equipment, or storage, or even if there was an issue with content management now that its video traffic is up. A reader pointed out on our message boards that Aereo could also be running out of uplink bandwidth. However, the only response from an Aereo spokesperson was a canned and largely unhelpful statement:

"We're fortunate that Aereo continues to experience strong growth across all our markets. Our team has been working overtime to add more capacity in our existing markets. As soon as additional capacity is added, new consumers will be notified that they can sign up and create an Aereo account."

Just as in the New York case, the company spokeswoman did not indicate when that might be.

The growing capacity crunch comes as Aereo continues to launch service in new markets on one front while it staves off legal battles on another. Because the company encodes and then streams over-the-air television content via the Internet without paying any licensing fees, broadcasters are taking Aereo all the way to the Supreme Court this spring in hopes of shutting the service down.

Despite these legal and technical hurdles, Aereo still plans to launch out its combination TV/cloud DVR service in several new markets in February, including San Antonio on February 19. Aereo is already rolled out in 11 metro regions. (See Aereo Plans Faster Growth Amid Legal Drama.)

But now there are new questions about Aereo's staying power once it introduces service. Stay tuned for more.

— Mari Silbey, special to Light Reading

(12)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Page 1 / 2   >   >>
Mitch Wagner
50%
50%
Mitch Wagner,
User Rank: Lightning
2/10/2014 | 6:03:53 PM
Re: Can't be the antennas
Kbode - Yes, woe betide the cable company that alienates a content provider and loses access to THE GAME OF THRONES. 
wanlord
50%
50%
wanlord,
User Rank: Light Sabre
2/10/2014 | 10:29:28 AM
Antennas it is?
I read an article somewhere this weekend saying they have resolved some of the capacity issues and it was related to antenna capacity. Though antenna is normally considered the device that converts between radio waves and electrical signals, they could be considering the entire path from the IP stream to the physical device the "antenna" and it could be a combination of network capacity, hardware, etc.

 

 
wanlord
50%
50%
wanlord,
User Rank: Light Sabre
2/6/2014 | 10:14:46 AM
Re: Can't be the antennas
Would be nice to know who makes the antennas!
mendyk
50%
50%
mendyk,
User Rank: Light Sabre
2/6/2014 | 9:38:16 AM
Re: Can't be the antennas
Barry Diller and other Aereo investors are footing the legal bill for this. The cable operators will let the courts have their say, and if Aereo gets legal clearance, the cable operators will be buying dime-sized antennas by the millions.
KBode
50%
50%
KBode,
User Rank: Light Sabre
2/6/2014 | 8:53:11 AM
Re: Can't be the antennas
"But why do the cable companies need Aero to do this? Why can't they just do it themselves?"

Simple fear of rattling cages I think. There's nothing that stops someone like Cablevision from offering something like this. Instead, Cablevision has chosen to take pot shots at Aereo's legal strategy in recent months, despite all of the nonsense they had to go through to insist their remote DVR service didn't violate copyright.
KBode
50%
50%
KBode,
User Rank: Light Sabre
2/6/2014 | 8:51:39 AM
Miami (I think) as well
Aereo didn't respond to my last inquiry (they're getting tired of me I think), but I believe that Miami might be shuttered to new users as well.

Wonder if it's a conscious choice to leave investment static until the Supreme Court ruling comes down? 
albreznick
50%
50%
albreznick,
User Rank: Blogger
2/5/2014 | 6:19:43 PM
Re: Can't be the antennas
Yep, i agree with you all. It's probably a bandwidth issue, although I question the 20% simultaneous usage figure. That seems a bit high tome. Sure, Aereo could be trying to be a bit too clever by pretending that it's so popular that it keeps selling out. But I don't but that because I don't think they come out of this looking that good.   
Mitch Wagner
50%
50%
Mitch Wagner,
User Rank: Lightning
2/5/2014 | 6:07:06 PM
Re: Can't be the antennas
wanlord, I think you've nailed it. This service is going to be a huge bandwidth hog. 

Broadcasters hate it, but it's potentially hugely beneficial to cable companies, who can get access to programming subscribers want without having to pay fees. 

But why do the cable companies need Aero to do this? Why can't they just do it themselves?
mendyk
50%
50%
mendyk,
User Rank: Light Sabre
2/5/2014 | 3:26:52 PM
Re: Can't be the antennas
If it were an issue of antenna supply, then Aereo wouldn't be rolling out into new markets (unless, of course, there's some insanity involved). The reason (or motive) for the capacity issue could be anything else.
wanlord
50%
50%
wanlord,
User Rank: Light Sabre
2/5/2014 | 2:51:04 PM
Re: Can't be the antennas
Though, why can't it be the antennas? Maybe the supplier/manufacturer can't keep up? These are custom boards sold to one customer.

 

OR, maybe it's all marketing? They will focus on getting subs in key markets. This whole "SOLD OUT" thing is only getting them press and making people think it must be really good if they are sold out. Once established in core areas, they will continue to expand and add customers in existing footprints.
Page 1 / 2   >   >>
Educational Resources
sponsor supplied content
Educational Resources Archive
Flash Poll
From The Founder
The New IP is actually bigger even than business. Like another hugely important tech that Light Reading is digging into right now, the New IP has the potential to change the world by fundamentally advancing what it is possible for people to achieve with communications.
Between the CEOs
EXCLUSIVE: Cisco's Chambers on Reinvention

3|3|15   |   8:24   |   (1) comment


Light Reading CEO Steve Saunders talks transformation and virtualization – including Light Reading's independent testing of the vendor's virtualization solutions – with Cisco CEO John Chambers at Mobile World Congress in Barcelona.
LRTV Documentaries
The Three Cs of MWC15

3|2|15   |   2:33   |   (1) comment


My visit to this year's Mobile World Congress is going to dominated by three Cs – cloud, cells and coffee.
LRTV Huawei Video Resource Center
Huawei Shares Its Vision of the Future of Mobile Networks Innovations

2|26|15   |   2:30   |   (0) comments


Mobile broadband is changing our lives. It's reshaping the Internet, industry, and society. It allows us to freely connect with one another anytime, anywhere. At this year's Mobile World Congress, Huawei will share its latest insights and newest ideas and technologies that will shape the future of MBB. They will showcase their end-to-end MBB solutions that will ...
LRTV Huawei Video Resource Center
Accelerate Digitizing, Boost Digital Business

2|26|15   |   6:14   |   (0) comments


A new digital revolution is leading us to a better connected world. Together with millions of digital partners, Huawei will help CSPs to build their digital service ecosystem and aggregate a wide variety of digital services. In this video, we find out how Huawei is going to help CSPs implement digital operations.
LRTV Huawei Video Resource Center
The Secret Recipe to Enabling Hyper-Growth Industries

2|26|15   |   3:38   |   (0) comments


With a number of successful cases on network capability exposure, Huawei is going to share the secret recipe to enabling hyper-growth markets with a step-by-step approach.
LRTV Documentaries
BTE 2015 Is Bigger & Even Better

2|25|15   |   03:13   |   (4) comments


This year's Big Telecom Event (BTE) in Chicago is going to provide more opportunities than ever for networking, getting to grips with key industry challenges and opportunities and, equally as important, having some fun.
LRTV Interviews
Light Reading ICT Leaders Roundtable at MWC 2015

2|12|15   |   1:07   |   (2) comments


On Sunday March 1, 2015, Light Reading will host an ICT Leaders Roundtable in partnership with Huawei. At this half-day event, CIOs, analysts and researchers will discuss key industry trends like virtualization in the cloud with a specific focus on new business models. Located at the luxurious Renaissance Hotel near the Fira Barcelona, space is limited so please ...
LRTV Documentaries
Going Green in 2015

2|12|15   |   02:04   |   (0) comments


Energy efficiency is set to be an incredibly hot topic in the telecom industry this year.
LRTV Custom TV
SDN & NFV: Where Are We Going From Here?

2|11|15   |   11:27   |   (0) comments


Vitesse Semiconductor CTO Martin Nuss gives his perspective on why SDN and NFV should be tightly interconnected and how he sees the industry moving forward.
LRTV Documentaries
Time for Gigabit Europe?

2|9|15   |   01:27   |   (4) comments


Gigabit broadband networks are springing up all around the US and they'll soon become more commonplace in Europe.
LRTV Interviews
Brocade Brings New IP Vision to 2020 Vision Executive Summit

2|3|15   |   4:23   |   (0) comments


In December 2014, Light Reading gathered telecom executives in Reykjavik, Iceland to discuss their vision for high-capacity networks through the end of the decade. The intimate, interactive meeting was set against the backdrop of Iceland's spectacular natural beauty. As one of the event's founding sponsors, Brocade's Kelly Herrell shared his company's strategy at ...
LRTV Interviews
Brocade's Kelly Herrell on the New IP

2|2|15   |   12:36   |   (0) comments


In December 2014, Steve Saunders sat down with Brocade VP of Software Networking Kelly Herrell at Light Reading's 2020 Vision executive summit in Reykjavik, Iceland. They spoke about Brocade's approach to the New IP, the future of the telecom industry, and more.
Upcoming Live Events
March 17, 2015, The Cable Center, Denver, CO
April 14, 2015, The Westin Times Square, New York City, NY
May 12, 2015, Grand Hyatt, Denver, CO
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 8, 2015, Chicago, IL
June 9-10, 2015, Chicago, IL
June 9, 2015, Chicago, IL
June 10, 2015, Chicago, IL
All Upcoming Live Events
Infographics
Net neutrality, broadband services and the current outlook on data consumption, as presented by the New Jersey Institute of Technology.
Hot Topics
Internet Pioneers Decry Title II Rules
Carol Wilson, Editor-at-large, 3/2/2015
Small Cells Enabling Location Services
Sarah Thomas, Editorial Operations Director, 2/25/2015
Verizon Takes Radio Dot to Detroit, VoLTE Overseas
Sarah Thomas, Editorial Operations Director, 2/27/2015
FCC Adopts Title II Rules
Alan Breznick, Cable/Video Practice Leader, 2/26/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
Check out Light Reading's interview with Jay Samit, the newly appointed CEO of publicly traded SeaChange International Inc. With a resume that includes Sony, EMI, and Universal, Samit brings a reputation as an entrepreneur and a disruptor to his new role at the video solutions company. Hear what he had to say about the opportunities in video, as well as the outlook for cable, telco, OTT and mobile service providers.