The Bigger Picture: Platform Power and Photo Rights
Why should everyday readers care? Because visuals sell homes and rentals—and whoever controls those visuals controls attention, leads, and revenue. CoStar says it has invested billions and hired thousands of photographers to build a massive library of real-estate images. If those assets can be copied or widely re-used without permission, it erodes the incentive to create and license high-quality media—and it can shift competitive advantage overnight.
This isn’t Zillow’s first photo-rights fight. In a long-running dispute with VHT Studios, courts ultimately ordered Zillow to pay roughly $1.9 million in 2022 for infringement connected to its “Digs” section—after years of litigation and appeals. That history matters because courts have already parsed fair-use and licensing arguments around listing photos in the Zillow ecosystem. loeb.com U.S. Copyright Office
A Second Legal Front: Compass v. Zillow
CoStar’s case lands as Zillow faces a separate June lawsuit from Compass, the country’s largest residential brokerage by sales volume. Compass alleges Zillow’s new policy—dubbed by Compass as the “Zillow Ban”—unlawfully restricts listings that appear elsewhere first, harming competition and consumer choice. Zillow has called those claims unfounded and says it will defend vigorously. (Compass seeks an injunction and damages.) Fox Business
