“In today's environment these content protection features are indeed a nonsense. I don't think, however that Microsoft are thinking about today's environment beyond keeping these features low-key for most users in order to avoid rejection. In their heads Microsoft see the 'connected home' where everyone has a network and displays around the house that integrate everything from TV to email, Internet, telephone, lighting and heating. In order to do these things on your TV you need a computer attached to it and Microsoft want that computer to run Windowsâ€.
So not only will Microsoft be able to lock out any competitors, but because they will then represent the only available distribution channel they'll be able to dictate terms back to the content providers whose needs they are nominally serving in the same way that Apple has already dictated terms back to the music industry: Play by Apple's rules, or we won't carry your content. And as the example above shows, they'll also be able to dictate terms to consumers in order to ensure a continual revenue flow. The result will be a technologically enforced monopoly that makes their current de-facto Windows monopoly seem like a velvet glove in comparison
