Fox Cable Threat: News Corp Threatens To Move Fox To Paid Subscription Cable Service If Courts Don’t Shut Down Aereo Startup

Fox has made a cable threat, stating that they will move the network from a free broadcast over the airwaves to a cable subscription channel if the court system doesn't shut down online TV service provider Aereo.

Broadcast television network Fox may become a subscription service that customers would have to pay for if courts can't protect Fox's business from startup company Aereo.

Chief Operating Officer of News Corp Chase Carey commented on the Fox cable threat on Monday, a week after a U.S. appeals court rejected a petition by major broadcasters to stop Aereo, an online service that offers a cut-rate TV subscription for consumers by capturing broadcast signals over multiple antennas at one time.

Aereo's service could cut the number of people who want an expensive subscription to cable video and television, as they offer service at a cut rate.

Carey, at the National Association of Broadcasters show in Las Vegas, said, "If we can't have our rights properly protected through those legal and political avenues, we will pursue business solutions. One such business solution would be to take the network and turn it into a subscription service," Reuters reported.

News Corp owns Fox, and although other broadcasters feel threatened by the Aereo case, Carey's comments have been the most drastic thus far.

Besides News Corp, other participants in the Aereo lawsuit include Comcast's NBC, Walt Disney's ABC, and CBS.

The industry, according to Reuters, sees Aereo and others services like it as a threat to its ability to control subscription fees and generate advertising income.

Aereo spokeswoman Virginia Lam said, "It's disappointing to hear that Fox believes that consumers should not be permitted to access free-to-air broadcast television."

If Fox becomes a subscription service, it would be in partnership with its affiliates. Carey remarked that pursuing legal avenues to resolve the Aereo issue would be explored before making the drastic move to subscription service.