I think this is absurd
I have set up this kind of service at home. Basically, I had a MythTV box, and all recordings were then available to me on any device (through a little custom jiggerypokery).
From what I have seen, they were providing this service but hosted in the "cloud". How can this be illegal? They may have added features the majority wouldn't have had access to, but that is just a feature of their site. In no way do I see that this is any more than providing a service which allows an individual to record something for their own personal use and play it back on the device of their choice.
If the law currently prohibits this, the law needs changing.
