I have thought that this is pretty cool - Chicago had this option back in the early fall. But will this company get shut down like the Aereo did? Just seems like this is too good to be true to be able to get the locals without an antenna.
They are using the non-profit loophole to "translate" OTA signals and stream them via the internet
only the OTA channels within the viewers DMA. It is quite legal and nothing the broadcasters can do about it (provided Locast is following the law to the letter, if you will) unless they--as in NAB--get their paid-for politicians to change the law, and NAB may actually attempt to amend the law if Locast gets too popular. Keep in mind that AFAIK, this is a live stream of OTA channels and there is no trick play nor DVR functionality with this service. Everybody I know views no trick play and no DVR functionality as a DEAL BREAKER, but it is something for those who can't get an OTA signal within their DMA.
FWIW, Amazon Fire TV Recast, while it does depend upon an antenna for OTA reception, seems to be the best solution to an affordable OTA DVR. It is much, much, much cheaper than TiVo, and it has a LOCAL storage solution, so one can DVR to heart's content and that content can never be taken away from you, and it can reside on your HDD for as long as you wish--or the HDD lives. The best model has 4 tuners, but only 2 active streams at one time (it re-encodes on the fly). I plan to wait on the Recast next generation hoping for improvements. All this for NO EXTRA FEES. You buy the Fire Recast TV and that is ALL YOU EVER PAY for the Recast to function (you will need to connect it to an OTA antenna). While not a perfect device, the cost is the main draw for me, and I already have Fire TV's throughout the house. I have heard that it re-encods to 720p, but cheapskate cord cutters aren't going to find any fault with that: they just want to see their OTA content well enough to enjoy it. I can live with it, too, if I were trying to save money in regards to my TV watching, and I really LOVE that I only have to pay the purchase price and everything works; no additional fees. Perhaps, not everyone's solution, but I suspect Amazon will sell quite a bit of these Recasts.