Broadcast TV stocks up strongly on Aereo ruling

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Associated Press

Posted on June 25, 2014 at 11:01 AM

Updated Wednesday, Jun 25 at 11:01 AM

LOS ANGELES (AP) — Shares of broadcast TV companies are rising fast on a Supreme Court ruling that found online TV service Aereo is violating their copyrights.

Stock in CBS Corp. is up 5 percent, Gannett Co. is up 4.5 percent, while Lin Media LLC and Journal Communications Inc. are both up 6 percent.

In a ruling released Wednesday, the court rejected Aereo's argument that it is only an equipment distributor because it provides subscribers with tiny antennas. The court found the service still amounts to a public performance of copyrighted works, which is the exclusive right of copyright holders.

The ruling could shut Aereo down or force it to enter licensing deals with content owners, potentially increasing what it must charge customers for the service.

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