Zattoo

Zattoo’s legal status is, arguably, a bit of a grey area. While the Internet TV service, which features live streaming of existing over-the-air and cable channels, claims it only does so within the law – either through government legislation or direct licensing agreements – its business model remains a controversial one. And it seems that Hollywood has finally taken notice.

Broadband TV news reports that Universal Studios and Warner Brothers are suing Zattoo for the way in which it streams German television channels ARD and ZDF. Under a 12 month license, Zattoo is able to carry both channels’ content live an “unabridged”. It’s the latter that the Hollywood studios are taking issue with since Zattoo inserts an advertisement everytime a user switches channel.