Time Warner Cable (NYSE: TWC-WI) has learned that it might not be best to act first and beg forgiveness later--especially when dealing with Hollywood. The MSO launched a live TV app on iPad--only 32 channels and only in the residence--and the program providers howled.
Now sources tell Variety that litigation from at least one major Hollywood studio is "just days away" because "if we allow this without litigation, everyone (read Comcast and Cablevision, which are dancing on the edge of offering similar services) will do it tomorrow. If we litigate, we have a chance to win."
TWC launched the service believing it had the right to do what it liked with the programming it purchases and retransmits within a subscriber residence. Programmers think otherwise, especially, according to BTIG analyst Richard Greenfield, since such services can't be measured for advertising. "They're upset because Nielsen can't yet capture all that data," Greenfield said.
- Variety has this story
Live, from Time Warner Cable, it's TV on the iPad
Time Warner's iPad app overwhelmed by legal issues, users