beaverdownunder writes "After winning an initial legal battle to continue its mobile 'TV Now' terrestrial-television re-broadcasting service, Optus has lost a second battle in Australian Federal court. The Optus system 'time-shifted' broadcast signals by two minutes, and then streamed them to customers' mobile phones. In the previous ruling, the judge sided with Optus' argument that since the customer requested the service, they were the ones recording the signal, and thus it was fair-use under Australian copyright law. However, the new ruling declared Optus to be the true entity recording and re-distributing the broadcasts, and thus in violation of the law. There has been no word yet on whether Optus will appeal the decision, but as they could be retroactively liable for a great deal of damages, it is almost certain that they will."