TV-over-the-Internet startup Aereo has filed for bankruptcy, bringing to a close its long-running copyright battle with US television networks. The filing comes at a time when there actually had been a bright spot on the policy horizon for Aereo. The FCC is set to consider whether some types of online streaming should be considered cable systems.

Aereo was created to use a system of using tiny, dime-sized antennas to send broadcast TV signals over the Internet. By renting one antenna and separate storage space to each customer, the company hoped to remain within the bounds of copyright law, despite not having permission from the television networks for its transmissions.

The fight was waged in federal courts around the country. The US Court of Appeals for the 2nd Circuit ruled in Aereo's favor, but the decision was overturned this summer by the Supreme Court. Aereo ceased doing business shortly thereafter.

Aereo released a statement to the press this morning saying that it won't be able to cope with an "uncertain regulatory and legal climate" following the US Supreme Court decision. A Chapter 11 bankruptcy will allow Aereo to protect some of its core assets "without the extensive cost and distraction of defending drawn out litigation in several courts."

The statement goes on to quote the company's CEO and Founder Chet Kanojia:

Even with significant victories in the federal district courts in New York and Boston and the Second Circuit Court of Appeals, the reversal of the Second Circuit decision in June by the U.S. Supreme Court has proven difficult to overcome. The U.S. Supreme Court decision effectively changed the laws that had governed Aereo’s technology, creating regulatory and legal uncertainty for the company. And while our team has focused its energies on exploring every path forward available to us, without that clarity, those challenges have limited our options. We have traveled a long and challenging road. We stayed true to our mission and we believe that we have played a significant part in pushing the conversation forward, helping force positive change in the industry for consumers. We feel incredibly lucky to have had the opportunity to build something as meaningful and special as Aereo.

Kanojia's full letter to Aereo customers is on the company's homepage.