Failed 2014

    Aereo

    Building a business on a legal loophole — tiny individual antennas to retransmit broadcast TV — gets shut down by the Supreme Court.

    Founded → Closed

    2012 → 2014

    Funding Raised

    $97M

    Industry

    Media/Streaming

    Country

    USA

    IdeaProof AI Failure Score

    62/100
    Market Fit RiskBurn Rate RiskFounder Risk
    Market Fit Risk
    60
    Burn Rate Risk
    55
    Founder Risk
    30

    Full Analysis

    Aereo used thousands of tiny antennas to capture broadcast TV signals and stream them to subscribers online, arguing this was legal because each antenna served one user. The Supreme Court ruled 6-3 against Aereo in 2014, finding it violated broadcasters' copyrights. The company filed for bankruptcy immediately after. The $97M lesson: building on legal gray areas is existential risk.

    Could This Failure Have Been Prevented?

    IdeaProof's AI validates market demand, competitive positioning, and business model viability in minutes — catching the exact issues that sank Aereo.