Macrovision boss sets Steve Jobs straight on DRM, offers to take over FairPlay

February 17, 2007

Macrovision boss sets Steve Jobs straight on DRM, offers to take over Fairplay The chief executive and president of content-protection company Macrovision, Fred Amoroso, has issued a very polite, but frank, open letter to Steve Jobs and the “digital entertainment industry” setting out his views on why digital rights management (DRM) is vital to the future of electronically distributed content, and offering to assume responsibility for Apple’s FairPlay DRM system.

The open letter comes after Steve Jobs wrote an open letter calling for an end to DRM.

Macrovision is probably best known for its VCR and DVD copy protection systems. The company was founded in 1983.

The main thrust of Amoroso’s argument is that DRM increases consumer value rather than decreases value, and that the reason why so many people pirate electronic content is because DRM-protected legitimate content is not as easily accessible and convenient as unprotected illegitimate content is to consumers:

“Without a reasonable, consistent and transparent DRM we will only delay consumers in receiving premium content in the home, in the way they want it. For example, DRM is uniquely suitable for metering usage rights, so that consumers who don’t want to own content, such as a movie, can “rent” it,” wrote Amoroso.

Amoroso also wrote that without DRM, content providers would be reluctant to make their content available:

“Quite simply, if the owners of high-value video entertainment are asked to enter, or stay in a digital world that is free of DRM, without protection for their content, then there will be no reason for them to enter, or to stay if they’ve already entered. The risk will be too great.”

Amoroso also pointed out to Jobs that DRM was more than about the music industry:

“… the discussion should not be limited to just music. It is critical that as all forms of content move from physical to electronic there is an opportunity for DRM to be an important enabler across all content, including movies, games and software, as well as music.”

Jobs and Amoroso did agree on one point, the need for an open and interoperable DRM system:

“Truly interoperable DRM will hasten the shift to the electronic distribution of content and make it easier for consumers to manage and share content in the home – and it will enable it in an open environment where their content is portable across a number of devices, not held hostage to just one company’s products,” wrote Amoroso.

The most comical part of Amoroso’s open letter was his offer to assist Apple with its issues and problems with DRM and to take over FairPlay. I’m sure Amoroso had his tongue firmly in his cheek when he wrote this: 

“Should you desire, we would also assume responsibility for FairPlay as a part of our evolving DRM offering and enable it to interoperate across other DRMs, thus increasing consumer choice and driving commonality across devices.”

Although he is the head of a content protection company, Amoroso makes some very good points about DRM, and also, in a very clever way, shows up Apple’s awkward position with its Fairplay DRM system (Fairplay only allows you to listen or view content purchased on the iTunes store on PCs and Macs loaded with iTunes or on iPods).

Writing open letters on the topic of DRM seems to be all the rage at the moment; it will be interesting to see who writes the next one.

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