Just Launched Zediva Now Saddled with Lawsuit
A couple of weeks ago, we had just found out about the new video rental and streaming upstart, Zediva. If you didn’t catch that article, Zediva’s scheme for side-skirting Hollywood is to rent viewers a physical DVD and DVD player and then stream the output direct to consumers. Today, we learn that the MPAA is none too satisfied with Zediva’s interpretation of the license associated with physical media.
Anyone surprised? Furthermore, anyone willing to gamble on the outcome?
On the same day legislators, unions and others pledged their support for a crackdown on pirated online content, the Motion Picture Association of America filed suit against online VOD video streaming service, Zediva.
“Zediva claims it is like a brick-and-mortar DVD ‘rental’ store and therefore not obligated to pay licensing fees to copyright holders,” said MPAA in filing the suit Monday In a California District Court. “In reality, Zediva is a video-on-demand service that transmits movies over the Internet using streaming technologies in violation of the studios’ copyrights,” the studios said.
They distinguished that from “major cable companies” video-on-demand services, and services like Netflix, Amazon.com, and Vudu, which pay to stream movie content.