TV Box Crackdown A Wake-Up Call For Entire Media Industry

This week, cable giants Rogers, Bell, and Videotron collectively succeeded in freezing cable-cutters MtlFreeTV, iTVBox, Android Bros Sales, WatchNSaveNow and My Electronics' sales of their Android TV Boxes. The presiding judge ruled in favour of a temporary injunction of the boxes, which may stifle their future success and growth in Canada. 

According to the plaintiffs, the problem with these boxes is not with the hardware prima facie; Rogers, Bell, and Videotron (Robelltron) are uncomfortable with the illegal, third-party add-ons that have been preinstalled into these boxes to facilitate pirating movies, television shows, live sports like the ongoing Euro Cup games, and more.

The plaintiffs argued this was an obvious case of piracy, while the defendants countered that a TV box is simply that – a simple box. Constantin Kyritsis, the lawyer defending MtlFreeTV.com and WatchNSaveNow Inc. commented, “They’re like the stores selling iPads, Apple TVs or computers, which can then be used for many kinds of uses, some of them potentially illegal, but many of them legal … the vendor doesn’t control or authorize what users do or what software providers enable [them] to do. They’re just selling the hardware.”[1] This argument has been echoed among vendors in the United Kingdom to little avail. 

As media conglomerates monopolize different means of distribution and content, it gets harder to compete with them. Some of the defendants have implied they are simply working to produce healthy competition and to provide a check-and-balance system in the content market.

In the FAQ of their website, MTL FreeTV wrote, “Basically all this device is doing is linking to content already available on existing web sites, and according to the laws of pretty much any democratic country worldwide, linking is not participation in the purpose to which the link refers.”

Another named defendant, Android Bros Sales wrote, “Official statement before CBC altered it…Android Boxes, tablets, cell phones and computers are all devices capable of accessing and streaming content online. Any person with little to no technical background can jump on their computer and instantly find 1000s of video tutorials on Youtube explaining how to install these free applications. There is no content loaded on any boxes nor do we condone downloading of content as downloading is illegal. Android Bros will happily abide by the current court decision and continue to provide our customers with legal premium streaming devices.  There is no need to be a slave to ridiculous $200+ cable bills just to have access to a few channels you actually want - there are an abundance of legal streaming solutions that allow consumers to view content legally without taking a hit to your wallet from these corporate monopolies.”

There are a number of players involved in this issue: the individuals accessing the content, the box vendors selling the means to the content, the software companies providing the medium to host the content, and the cable companies providing the content. There is also a high level of uncertainty regarding which boxes truly preinstall the add-ons.

Luckily for Robelltron, the questionable marketing of the defendants, one of which advertised “cancel cable today,” raised suspicion and further action. However, controversial marketing should not have been enough to earn the temporary injunction.  Then, comes another question: what about the companies that don’t explicitly market their products as cable killers?

Companies like Astro TV, for example, claimed they did not sell the boxes with these add-ons, but clarified, “…if you choose to use streaming with Kodi add-ons like Specto or Exodus, you do so at your own risk.” On the website, however, users could access an entire page of tutorials and information about these same add-ons. After a quick check to cite the page, this information has been erased. Instead, they have written, “Astro TV Boxes is changing ownership. Until this is done, we will not be selling TV Boxes with Android. Please check back soon for updates.”[2] Even if companies are not explicitly encouraging methods of piracy, does it count if they facilitate it? This recent ruling may suggest that it could, to the relief of Robelltron.

Michael Geist wrote, “…the law features provisions that can be used to shut down websites that ‘enable’ infringement.”[3] Downloading free content without permission qualifies as infringement. So, would these websites be shut down to stifle accessibility to consumers and more importantly, sales? With a good lawyer, they could be. 

From the recent ruling, however, comes the fundamental question: Will this necessarily stall, if not exterminate piracy?

The answer is no. Users will always find a way to access wanted content. Halting these boxes only eliminates the middle man; the larger issue of pirated content still remains. Will this ruling prompt users to install illegal add-ons by themselves? If so, will Robelltron go after individual users next to protect themselves from future “irreparable harm?”[4] 

And what about the software companies? There may be less remorse given to the Monarchs of Media, but the success and freedom of groups like Kodi should be cause for concern. Generally, Kodi is the open source software used by vendors to install illegal add-ons like Exodus and Phoenix. John Sullivan (Ph.D. UPenn), Associate Professor in Media and Communication at Muhlenberg College argues that the Free Open Source Software Movement includes the freedom to access, manipulate, and distribute information.[5] These freedoms are at the core of a social justice issue.[6] He likens online licensing to the Second Enclosure Movement, whereby public lands are “handed” to private interest groups for commercial exploitation…dating back to the printing press.[7] What we can understand from Sullivan is that information, more specifically content, has become a commodity for these monopolists and that access will always come at a cost.[8]

With Kodi comes a communitarian environment, populated by hackers (software developers, engineers, and the like) working together to create helpful applications for the public. This case puts Kodi in a different position. On one hand, there are calls to create coded barriers to stall or disallow the download of add-ons. On the other hand, the fundamental principle of open source software is just that – it is open for the public to study, improve, run, and redistribute.[9] Sullivan writes, “Imposing traditional, exclusionary property rights infects human creativity and expression…mak[ing] pirates out of people who want to help each other.”[10] These plugins are not formally associated or partnered with Kodi, but netizens have been using one for the other on an overwhelmingly consistent basis.

TVaddons.ag, calling themselves the “future of television” wrote on their website, “Over 3.5 million people used Kodi with [their] unofficial add-ons during only one day in March. 23 Terabytes of add-on updates were distributed to users in this time frame...397 TB of add-on updates were distributed during the month of March.”[11] They went on to say, “We rarely check statistics, but when we do, we’re always impressed,”[12] in regard to checking in on Kodi add-on traffic on the site. According to the site, 19 million people used Kodi with these add-ons.

Kodi is rightfully angry. In response to incorrect associations between the actual software that Kodi produces and the illegal plugins that it does not, Nathan Betzen (Product Manager for Team Kodi) wrote, “If you see somebody selling a box that’s “fully loaded” or comes with the phrase “Free movies and TV with Kodi,” please, ask them to stop. And let us know. It’s OK to sell a vanilla Kodi box. It’s OK to sell a fully loaded box that doesn’t have Kodi installed or fully rebrands Kodi to something else entirely. It is not OK to sell a fully loaded Kodi box.”[13] Gray areas like this demonstrate that piracy is unlikely to be slowed or exterminated.

The software company argued that these false associations have negatively hurt their brand and risk the loss of developers and online free speech.

Betzen continued, “We love making Kodi. We love working on a free, open source software that’s the best media center on the planet, able to do things no other media center can do. And we want to keep making Kodi better, every single day. But every day our name gets dragged through the mud, we are in danger of losing developers and losing the freedom to make Kodi great.”[14] The issue with these associations may be a business one instead of a moral one, since Kodi publicizes that users are free to use the software for whatever purposes they choose at their own risk. However, with considerable pressure on all players in the game, you can’t blame them for their frustration.

Creating barriers may stifle the freedom of speech so crucial to open source software and even challenge its foundational principles, but what happens when developers stop participating altogether, resulting in radio silence?

Once the full trial is underway, we will be able to get more answers. Until then, this has been a wakeup call for all players – the users, the developers, the vendors, and the providers – to protect themselves the best way they can.

Ida Mahmoudi is a recent graduate from McGill University's political science, communications, and Islamic studies programs. She currently works as a legal intern at Hummingbird Lawyers LLP. She will be attending University of Ottawa, Faculty of Law in September 2016.

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[1] Dobby, Christine. "Digital Set-top-box Sellers Appeal Temporary Sales Block." The Globe and Mail. The Globe and Mail. June 13 2016. Accessed June 15 2016. <https://www.theglobeandmail.com/report-on-business/digital-set-top-box-sellers-appeal-temporary-sales-block-in-case-launched-by-bell-rogers-videotron/article30429204/>.

[2] Astro TV. “Astro TV boxes Canada with Android?. Accessed June 16 2016.  https://astrotvboxes.ca/.

[3] Geist, Michael. "Stream On?: How Canadian Law Views Online Streaming Video - Michael Geist." Michael Geist. January 20, 2015. Accessed June 15, 2016. https://www.michaelgeist.ca/2015/01/stream-canadian-law-views-online-streaming-video/.

[4] Harris, Sophia. "Cable Companies Launch Court Battle against 'free TV' Android Box Vendors." CBCnews. June 14, 2016. Accessed June 14, 2016. https://www.cbc.ca/news/business/free-tv-loaded-android-box-cable-1.3633331.

[5] Sullivan, John L. "Software Freedom as Social Justice." Media and Social Justice. 2011. 164-165.

[6] Ibid: 159-161.

[7] Ibid: 161.

[8] Ibid: 162

[9] Ibid: 165

[10] Ibid: 166

[11] Staff, T.A. “Some Usage Statistics for March 2016” TV Addons. March 31, 2016. Accessed June 16, 2016. https://www.tvaddons.ag/usage-march2016/.

[12] Ibid

[13] Betzen, Nathan. "The Piracy Box Sellers and Youtube Promoters Are Killing Kodi."Kodi. Kodi. Feb 14 2016. Access June 16 2016. <https://kodi.tv/the-piracy-box-sellers-and-youtube-promoters-are-killing-kodi/>.

[14] Ibid

Works Cited

Sullivan, John L. "Software Freedom as Social Justice." Media and Social Justice. 2011. 159-75.

Andy. "'Pirate' Android TV Box Sellers Raided By Police - TorrentFreak." TorrentFreak RSS. TorrentFreak, 12 June 2015. Web. 15 June 2016. <https://torrentfreak.com/pirate-android-tv-box-sellers-raided-by-police-150612/>.

Astro TV. “Astro TV boxes Canada with Android?. Accessed June 16 2016.  https://astrotvboxes.ca/.

Betzen, Nathan. "The Piracy Box Sellers and Youtube Promoters Are Killing Kodi."Kodi. Kodi. Feb 14 2016. Access June 16 2016. <https://kodi.tv/the-piracy-box-sellers-and-youtube-promoters-are-killing-kodi/>.

Dobby, Christine. "Digital Set-top-box Sellers Appeal Temporary Sales Block." The Globe and Mail. The Globe and Mail. June 13 2016. Accessed June 15 2016. <https://www.theglobeandmail.com/report-on-business/digital-set-top-box-sellers-appeal-temporary-sales-block-in-case-launched-by-bell-rogers-videotron/article30429204/>.

Geist, Michael. "Stream On?: How Canadian Law Views Online Streaming Video - Michael Geist." Michael Geist. January 20, 2015. Accessed June 15, 2016. https://www.michaelgeist.ca/2015/01/stream-canadian-law-views-online-streaming-video/.

Harris, Sophia. "Cable Companies Launch Court Battle against 'free TV' Android Box Vendors." CBCnews. June 14, 2016. Accessed June 14, 2016. https://www.cbc.ca/news/business/free-tv-loaded-android-box-cable-1.3633331.

Staff, T.A. “Some Usage Statistics for March 2016” TV Addons. March 31, 2016. Accessed June 16, 2016. https://www.tvaddons.ag/usage-march2016/.