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More on the Effect of Digital TV
EyesWideOpen writes "Here is an interesting article at Wired which mentions that existing DVR devices (Tivo, ReplayTV) aren't equipped to handle the digital TV signal that broadcasters are scheduled to start delivering in 2006. Also mentioned is a proposal being considered by the FCC that would allow cable companies to 'turn off' the firewire port, which DVR's will use to connect to digital televisions, so that some broadcasts can't be recorded. The proposal is being considered no doubt in response to fears like that of MPAA head Jack Valenti who has said that without proper security measures, the industry won't allow its movies to be broadcast because they don't want viewers to record 'perfect copies' of movies."
We can bitch about Valenti's and the MPAA's techniques all we want. We can force them either to broadcast their movies in a way we can record perfectly, or not broadcast them at all. But there's a reason the MPAA is whining: they see this as undercutting their revenues. And no corporation will be satisifed with producing the same product for less compensation.
You like watching $100 million movies like LOTR and the Matrix? Where do you think that $100 million comes from? Part is from theatres; part of it is from broadcast rights. A large chunk comes from video/DVD sales and rentals, which is what they're worried will go down if people can trade perfect copies.
It's an equation, it has to balance out. Either the cost of making the movies will go down (resulting in lower-quality movies) or the price at the theatre, the TV station*, and the video store will go up. Think about it long and hard before you lobby Congress to allow everyone to record and exchange perfect copies of movies. Somewhere, somehow, you'll pay for it.
As many people have pointed out, the media companies do not have a guaranteed right to profit. But neither do you have a guaranteed right to high-quality media for low prices.
* If the TV station or cable channel has to pay more for the movies, then they'll pass that on to you in the form of more commercials or higher subscription fees.
Any exec that thinks MPEG2 can deliver a 'perfect' copy, hasn't seen MPEG2. Compression artifacts regularly seen in DVDs and DSS are a huge step down from a clean analog or uncompressed digital source. Besides, 99% of the crap Hollywood puts out isn't worth spending disk space on anyway.