Judge issues injunction against movie streaming service Zediva

By Richard Verrier, Los Angeles Times
August 2, 2011

A federal judge has ordered the movie streaming service Zediva to temporarily halt its operations in a ruling that was hailed by the Motion Picture Assn. of America, Hollywood's chief lobbying arm.

The MPAA's six member studios sued the parent company of Zediva in April, saying the Santa Clara firm illegally streams movies to its customers without obtaining required licenses from the studios. The service offers 14 rentals of newly released DVDs for $2 per movie, or $1 for an order of 10 films, significantly less than what cable companies charge for on-demand services.

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