Any unlicensed device may transmit or pass on encrypted content without restrictions, provided such device does not decrypt or otherwise make the content accessible. This means that such devices and systems may not pass content which has been legitimately decrypted through either analog or digital connections to other devices and systems without the appropriate protections. One group focused on policy issues and one focused on technical issues, the technical group adopting the name of the Copy Protection Technical Working Group (”CPTWG”). Therefore, the negotiations centered on how the content of DVD discs should be treated by playback devices (both consumer electronics and computer devices) once it is decrypted. The basic ”design goals” that were required for this copy protection technology and licensing structure were: Sufficient technical and legal protection to ”keep honest people honest,” i.e., to make it difficult for an ordinary consumer to make a copy of protected content by consumers using normal home-type products; Sufficient technical and legal protection to prevent the easy creation of widely available and insurance usable means of avoiding the technical and legal protections afforded by the technology and related licensing; Implementation in both computer and consumer electronics products such that the effect is insignificantly burdensome in complexity and cost in both environments; Technology licenses that are both sufficient to provide the necessary legal protections and low in burdens on product manufacturers and distributors; and Transparent operation to consumers, except where consumers attempt to make unauthorized copies of content protected using the system. 12 The most visible of the alternatives that have been introduced was the DIVX system sponsored by Circuit City and a group of private investors. On the consumer electronics side, the analog VCR market was fairly mature and DVD offered a new generation of players that could gain wide popularity with consumers and generate substantial equipment sales. Because DVD was a new format, it provided the ideal opportunity to build in copy protection technology.
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Therefore, there must be legal safeguards against the circumvention of copy protection technology. With encryption, if the playback device does not affirmatively respond to unlockdecryptthe content, then the content remains encrypted and protected. The above advances in technology mean that content piracy no longer requires dedicated pirates using expensive equipment to reproduce works and physical distribution channels (from flea markets and street corner sales to retail shops) to distribute such unauthorized copies. These limitations indicate that particular legal safeguards must be provided to support copy protection technologies. The content is good, so it is read longer and user metrics are better for your clients. Therefore, to work properly copy protection technologies must be bilateralthe technologies applied by content owners need to function with consumer electronics and computer devices used by consumers and these devices need to respect and respond to the technologies applied. 4 See Annex A for descriptions of encryption, SCMS and Macrovision.
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