By Brendan Sasso - 01/08/13 09:44 PM EST
In their suit, a group of TV stations accuse Aereo of using "technological gimmickry" to dodge copyright law.
A federal court denied the broadcasters' request for an injunction last year; they have appealed to the 2nd Circuit Court of Appeals.
"Watching television should be simple, convenient and rationally priced," Aereo CEO Chet Kanojia said in a statement. "Aereo’s technology provides exactly that: choice, flexibility and a first-class experience that every consumer deserves.”
The company struck a deal last month to offer the Bloomberg TV cable channel as part of its package.
If Aereo is successful, it could compete with or complement other online video services such as Netflix and Hulu and encourage more consumers to abandon cable TV.
A full list of cities where Aereo plans to expand is available on its website.