A federal court will not hear Aereo's argument that the streaming media company should be allowed to operate similarly to a cable company.
The Second Circuit Court of Appeals ruled Thursday that Aereo will have to take its argument to the district court, according to court documents first reported by The Washington Post.
This decision continues broadcasters' winning streak against the upstart service. Launched two years ago, Aereo delivered over-the-air channels via online streaming to computers and tablets for about $8 a month and had brought the service to 11 cities.
The Supreme Court ruled two months ago that Aereo was violating copyright law by not paying the networks for transmitting their signals.
After that, the streaming media company voluntarily shut down and told the U.S. District Court that it wanted to be treated as the equivalent to a cable TV system and apply for a compulsory license to stream live TV broadcasts.
Subsequently, the Copyright Office's general counsel said that the office did not think that Aereo would qualify, but fell short of denying Aereo's filing because the issue remained alive in the courts.