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Dish Network Launches Lawsuit Counteroffensive Over Hopper Technology
Perhaps one of the greatest problems currently facing cable operators – and by extension, those in satellite TV – is the perception among viewers that since they pay for television in the first place, they should not be forced to pay for it again via commercial advertising.
Dish Network's recent release of the Hopper DVR, with technology designed to help users skip commercials, was well-received by the user base, but not so much by the networks, who provided content with ads in the first place.
Now, lawsuits are flying, and Dish Network has filed counter-suits of its own.
While Fox, whose initial response to Dish's technology had been low-key, was the first to issue a lawsuit against Dish Network, Dish promptly responded with one of its own, and filed them against CBS, NBC and ABC, seeking in each case a "declaratory judgment" that the ad-skipping technology contained in the Hopper DVR system does not in fact represent copyright infringement.
Fox's suit, meanwhile, alleges that Dish is essentially running a "bootleg broadcast video-on-demand service" by offering the DVR, and is "undermining legitimate consumer choice by undercutting authorized on-demand service," as well as being responsible for "ultimately destroy(ing) the advertising-supported ecosystem."
It's somewhat of a stretch to say Dish offering an alternative to Fox's on-demand service is actually undercutting choice – basic math says one choice plus one choice does not equal less than one choice – and it only makes things worse considering Dish Networks' user base is already taking to the Hopper and enjoying the ability to bypass commercial interruption on the television provider, for which they're already paying monthly fees to enjoy.
Yet Fox does have a point in the addition of that extra word – "legitimate." It's Fox's content at the end of the day, so they do have a right to determine how it's disseminated. Of course, Dish can ultimately choose to pull the plug on Fox's offerings altogether, but this would hurt Dish Network just as much as it would hurt Fox.
Both have a fine line to walk, though, in the sense that even if Dish offers it and Fox allows it, the consumer is ultimately the one paying the bill. Consumers want advertising gone on television they already pay for, so it would bode well for Dish and Fox alike to pay attention.
After all, as many canceled shows have proven over the years, when no one's watching, there's no point in carrying on.
How this issue will ultimately boil down remains to be seen. But if customers aren't happy, then in all likelihood, nor will Dish and Fox.