I don't think that is an accurate reading of the USG's argument. The USG says that users can upload what they want since they've lawfully obtained a license on their own, so cloud services would not have to. The USG is silent on what to do in the case where the user has not 'lawfully obtained' a license, but no where does the USG imply that the cloud service would have to confirm the user has a license. They probably use the term 'lawfully obtain' because as a matter of policy they don't want to imply that consumers don't have to lawfully obtain content.
Mike, where in the US Government's argument did they imply that a cloud service would have to confirm the user has a license before allowing an upload?
"Imagine using your Dropbox if nothing can be uploaded until Dropbox confirms it has a license for the work. Right. That's not going to work. "
Re: Re: Clarification
Mike, I don't think arguing the 'same side' is poisonous here. The USG could be saying 'ignore those idiots who want the same result as we do plus other stuff that we don't'.
FYI I hope the SCOTUS finds for Aereo, but I expect if they do Congress will step in and craft a (hopefully narrow) law legislating Aereo out of existence.