CBS has had plenty to say about its future if TV startup Aereo is permitted to exist (like becoming a cable network for starters), and now the company is investing some of its resources into a streaming video startup that could help it stay competitive.
Yesterday CBS announced that its taking a minority stake in Syncbak, a streaming video company that specializes in location-based authentication tech that allows local broadcast stations to stream their signals across the web. Basically, it’s a service for local broadcasters that doesn’t require the ridiculous (or genius depending on your stance) set up of tiny antennas like Aereo does. Viewers who live within a set geographical area will be able to watch content from those stations, while others outside of the coverage zone presumably won’t.
CBS states that Syncbak will continue to offer its services across the board, meaning not to just the local stations that have syndication deals with CBS.
The investment is an interesting move for CBS considering company CEO Les Moonves previously said his company could take its broadcast station off the air and transform it into a cable network given the recent legal developments with Aereo. Syncbak could conceivably make CBS’ affiliate stations more competitive with Aereo’s service, which offers local residents access to all freely broadcast content as well as on-demand and DVR features.
Not including the undisclosed amount of investment from CBS, Iowa-based Syncbak has previously raised a total of $6.85 million in funding.
TV image via Shutterstock; h/t: TheVerge