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Broadband TV and cloud DVR startup couples expanded launch in the NYC metro with its first ad campaign using 'No Cable Required' tagline

Aereo Widens Net to 19M Homes

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
2/25/2013
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Aereo Inc. has expanded its broadband TV and cloud DVR service to 19 million people in the New York City metropolitan area, marking its first service expansion since debuting it in five NYC boroughs last March. The service expansion targets 29 counties in New York, New Jersey, Connecticut and Pennsylvania. Those new areas come into play two months after Aereo announced a new round of funding and plans to expand to 22 additional markets covering 97 million homes later this year. (See Aereo Sets 22-City Expansion.) In concert, the Barry Diller-backed startup is booting up its first ad campaign, which will use billboards, phone kiosks and "key city transit points," including waterways and commuter trains to promote the service and a tagline that's sure to get the attention of NY-area pay-TV operators, including Time Warner Cable Inc., Verizon Communications Inc. and Cablevision Systems Corp. Here's a sample:

AereoAd2.jpg
Aereo's platform uses tiny antennas to capture free, over-the-air broadcast TV signals, transcodes them, and delivers them to customers over broadband to tablets, PCs and even Roku Inc. boxes. That's coupled with a network DVR. Aereo has a deal to stream Bloomberg TV, and is in discussions to carry more cable TV channels. Aereo primary pricing plan is $12 per month with 40 hours of storage. It's also marketing it for $80 per year with 40 hours of storage, and $1 per day with three hours of DVR storage. Incidentally, Aereo CEO and founder Chet Kanojia is slated to speak today at the National Cable Television Cooperative Inc. (NCTC) Winter Educational Conference (WEC) in Las Vegas. Why this matters
This is a clear indication that Aereo intends to move forward despite the specter of lawsuits from major broadcasters that are trying to shut it down over allegations that the service violates copyrights. For more
— Jeff Baumgartner, Site Editor, Light Reading Cable



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Jeff Baumgartner
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Jeff Baumgartner,
User Rank: Light Beer
2/26/2013 | 5:48:29 PM
re: Aereo Widens Net to 19M Homes
Speaking here at the NCTC winter educational conference, Aereo's CEO talked about some potential partnership scenarios with cable operators. interesting thought if the Tier 2/3 group starts to figure out new ways to drive $$ out of their broadband services. More on this soon. JB
craigleddy
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craigleddy,
User Rank: Blogger
2/26/2013 | 2:41:06 PM
re: Aereo Widens Net to 19M Homes
Yea, I think the technology is cool and all, but at the end of the day I don't think the consumer value proposition is that great. You'll get broadcast signals that you could get with an OTA antenna in many markets. You'll get the ability to stream on your devices and a virtual DVR, sort of cool but worth how much? And you don't have to buy a big cable or satellite bundle, which will appeal to some of the penny conscious.

When you add in those variables, it seems like a small niche service, not mass disruption. It's like the Sling saga all over again.
jtombes
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jtombes,
User Rank: Light Beer
2/26/2013 | 3:07:14 AM
re: Aereo Widens Net to 19M Homes
Bloomberg did a review a few days ago, flattering on question of quality and UI, if not choice. What riled Rayburn up last year was the idea that Aereo, which has said 300k subs would be a really big market, could upend the 100m pay TV industry. Note the Bloomberg guy, calling Aereo a 'textbook example of disruptive technology' - an expression that usually suggests destruction or widespread transformation. But what we've got here is more like marginal disruption, at best.
Jeff Baumgartner
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Jeff Baumgartner,
User Rank: Light Beer
2/25/2013 | 7:29:55 PM
re: Aereo Widens Net to 19M Homes
The reviews i've seen have been generally happy with the video quality and the interface. They have not released any numbers, lately but some court docs revealed last year that they had less than 2K customers. So not a whole bunch yet; interesting that they are starting to market this thing, tho. Recall that Dan-á Rayburn doesn't give Aereo much of a chance: http://blog.streamingmedia.com...
craigleddy
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craigleddy,
User Rank: Blogger
2/25/2013 | 4:38:51 PM
re: Aereo Widens Net to 19M Homes
Any reports on how well Aereo is working? Does it provide good video quality and a good user experience? Not what the company says, but from actual customers.-á
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