The reason why Fox is upset is because Aereo is taking their signal and re-broadcasting it to others without paying them. Cable and satellite companies typically pay stations and networks for the right to distribute their programming to subscribers. What Aereo is doing is theft.
Nope.
What Aereo is doing is merely to provide its subscribers with a well-provisioned remote TV antenna with which to receive broadcasts they would in any case be entitled to receive, if they could be bothered. The courts said so.
Cable and satellite companies typically pay stations and networks for the right to distribute their programming to subscribers.
That's ass-backwards.
Aereo is acting as a power-amplifier enabling the stations to reach subscribers they otherwise would not be able to reach, or who wouldn't take the trouble to receive them without Aereo's assistance. Thus, if any financial exchange is in order, it should be in Aereo's favor, not the stations'.
So Fox should put all its programming on Fox.com. Problem solved. But they won’t, none of them do, except ESPN. Americans are forces into ridiculous cable plans for basic channels.