So the Copyright Office is currently in the middle reviewing proposed exceptions to the DMCA, and one of the proposals on the table would allow teachers and students to rip DVDs and edit them for use in the classroom. Open and shut, right? Not if you're the MPAA and gearing up to litigate the legality of ripping -- it's trying to convince the rulemaking committee that videotaping a flatscreen is an acceptable alternative. Seriously. It's hard to say if we've ever seen an organization make a more tone-deaf, flailing argument than this.

Take a good look, kids. This is what an industry looks like right before it dies. Video after the break.

[Via BoingBoing]

Let's face it -- quite a lot is resting on the outcome of this case. For months now, RealNetworks has been unable to legally sell its RealDVD movie ripping software after a court issued a temporary restraining order that remains valid until it's decided if the application violates the DMCA (Digital Millennium Copyright Act). Now, the software is finally having its day in court, and the outcome could shape the future of the DVD player (for better or worse). You see, Real has already assembled a prototype Facet device that hums along on Linux; essentially, this DVD playing machine would sell for around $300 and could store up to 70 movies internally. On the surface, this sounds entirely like a poor man's Kaleidescape, but only time will tell if The Man agrees. Cross your fingers folks, we get the feeling fair use advocates are going to need the luck.

We know you're struggling to believe your eyes, but those Qflix burners actually are still hanging around. For those who missed all the action last year, these devices enable users to download a DRM-laced film onto their PC and burn it onto a specially-keyed DVD for playback. In other words, you can forget about toasting flicks to that dusty stack of DVD-Rs you've got laying around from late '05. For whatever reason, Dell has seen fit to extend its partnership with Sonic Solutions by offering internal Qflix drives on the Studio XPS Desktop, Studio XPS 435, Studio Desktop and Studio Slim Desktop. The wild part? Its actually charging more for having you clean out its inventory.

In what's being described as a landmark verdict, four men responsible for assisting throngs of dubious internet users to download all sorts of copyrighted material are being ushered off to prison cells for twelve whole months. The Stockholm district court in Sweden found the defendants guilty not of hosting materially illegally, but of "providing a website with sophisticated search functions, simple download and storage capabilities, and a tracker linked to the website [that helped users commit copyright violations]." As expected, the foursome seems unaffected by the ruling, with Peter Sunde (shown) tweeting that "it used to be only movies, now even verdicts are out before the official release." After jail, the crew will be forced by pay 30 million kronor ($3.56 million) to a number of entertainment companies, which is far less than those firms were hoping for. Curiously, we're told that the verdict didn't include an order to shut down The Pirate Bay website, and you can pretty much bank on an appeal being filed in record time.

[Thanks to everyone who sent this in]

Don't let anyone tell you otherwise -- money's out there if your idea is good enough. Hot on the heels of Fusion-io's grabbing of Series B funding comes this: news that doubleTwist has just acquired a solid $5 million to push forward on its all encompassing media venture. If you'll recall, the project is being headed up by the notorious DVD Jon and DRM expert Monique Farantzos. In essence, the idea is to create a multi-platform media browser that can take media from just about anywhere and place it just about anywhere else, all without forcing you to figure out messy calculations like encoding and native resolutions. In related news, doubleTwist now shows screenshots and a video (after the break) of a Windows version, which is available today for download.

Read - DoubleTwist website
Read - Funding

"Oh, bollocks." No, we can't definitively prove that Gordon Brown said that after witnessing a "Wrong Region" code when inserting a DVD given to him by Barack Obama, but we're sure something of the sort was uttered. You see, the ridiculous DVD region coding system recently prevented the British Prime Minister from viewing a set of 25 "American classics" on DVD, all of which were bestowed upon him by President Obama during a recent visit to Washington, D.C. We hate to bludgeon a dead mule, but seriously, when will the DRM madness end? Er, on second thought, maybe this is precisely what's necessary to keep those region-free player outlets in business, and thus, the economy strong.

[Via techdirt, image courtesy of AmericaLives]

We've heard of some crazy audio watermark plans in the past, designed to prevent people from making copies of Hollywood blockbusters, and despite the audio industry finally moving away from its protective restrictions, the film industry seems to just keep working on more. The latest, created by Professor Noboru Babaguchi and his colleagues at Osaka University in Japan, is a means to apply spread-spectrum audio waveforms to a film's multi-channel soundtrack, enabling pirate seekers to determine exactly (well, to within 44 centimeters) where the bootlegger was sitting when he or she committed his or her felonious deeds. Interesting, sure, but unless all theaters worldwide start assigning seats by name it's useless. Beyond that, there's nothing stopping an intrepid recorder from stashing a mic a few feet to the left or the right, thus implicating an idle popcorn-muncher. Will these flaws keep this technology from being implemented? Don't count on it.

[Via Slashdot]

Just last week we heard that Warner Bros. was ending its home video / DVD business in South Korea due to rampant piracy, and now we've got a report from China suggesting that sophisticated pirates are duping buyers with faux Blu-ray Discs that are actually DVDs. As the story goes, movie pirates in select parts of Asia are ripping bona fide BDs and then burning them in AVCHD format (which uses 720 horizontal lines of resolution compared to Blu-ray's 1,080) on writable DVDs. Word on the street has it that these discs are being offered for around $7 each, and they even boast the BD hologram and the iconic blue hues on the packaging. Reportedly, none of the discs have made it outside of Asia just yet, but stay sharp should you ever get the urge to snag a discounted BD title while traveling abroad.

[Image courtesy of UberGizmo]

It look like Hollywood's won the first round in court against RealNetworks' RealDVD DVD-ripping software -- Judge Maralyn Hall Patel (of Napster fame, remember her?) ruled yesterday that a temporary restraining order blocking sales of the software will stay in place indefinitely until she decides whether it violates the DMCA. The central issue is whether or not making a bit-for-bit copy of a DVD constitutes circumventing copy protection: the studios claim the encryption keys must be read off the disk under the terms of the license agreement, and RealNetworks obviously disagrees. There's a lot at play here, including the studios' argument that fair use doesn't serve as a defense to backing up DVDs, so we'll be tracking this one closely -- it's sadly clear to us that Hollywood's fight here is against consumers having flexibility with their media, since it lost the battle against actual piracy ages ago.

We knew Hollywood wouldn't let RealNetworks sell its RealDVD DVD-ripping-and-archiving software without a fight, and right on schedule, six major studios have filed a lawsuit seeking to prevent it from being sold. Of course, RealNetworks has been planning on hiding behind that Kaleidescape ruling all along, but straight CSS circumvention isn't really what's at the heart of the suit: according to the studios' request for a restraining order, consumers won't be able to contain themselves in the face of RealDVD's voodoo magic and will start ripping rental DVDs en masse -- seriously, the suit calls the incentive to do so "all but overwhelming." Here's a hint, guys: if you believe the temptation to do something is that strong, it probably means you can get people to pay to do it -- and you should probably be working out a business model that embraces consumers instead of funding new BMWs for your lawyers while actual piracy tears down the fragile house of cards your entire industry is built on. Or you know, whatever.

RealNetworks, the company you love to hate, is back with a new product sure to capture the attention of Hollywood and its MPAA thugs. For $30, RealDVD plans to do what DVD Jon enabled years ago -- namely, making digital copies of your DVDs. Unlike Jon's illegal DRM stripping software, RealNetworks' approach lays on additional DRM allowing you to make a single copy, only, playable on the machine doing the rip -- up to five additional Windows PCs can be authorized at a cost of $20 per.

Real thinks that the use of the additional DRM coupled with Kaleidescape's legal victory -- a ruling that seemingly authorizes users to copy DVDs for their own personal use -- will help it escape the wrath of the MPAA. Not that RealNetworks has ever been afraid of a fight as demonstrated by its 2004 scuffle with Apple when it began offering software that allowed iPods to play Real's DRM'd content. Good thing too because we're pretty sure that shutting down the planned start of RealDVD's sales at the end of this month is the number one topic around the bunny-juice dispensers at the MPAA offices this morning.

[Via cnet]

Last month you let us know in the comments how you felt about the MPAA's latest effort to close the analog hole -- by removing the FCC's ban on selectable output control (SOC), giving them the ability to remotely disable the analog output on your cable box -- now try telling someone who can actually do something about it. The FCC has opened the petition to public comment until June 25, and replies to comments by July 7. Currently, the MPAA is arguing that allowing SOC will actually hasten the digital transition, once it feels comfortable offering early release flicks on HD video-on-demand, people will have more incentive to upgrade their TV sets. Of course, owners of older HDTVs without HDMI connections or anyone else who'd rather use analog outs would be left in the dark, and Ars Technica notes the EFF and Home Recording Rights Coalition have already spoken out against the plan. Give the MPAA's proposal a read then let the FCC know which side of the line you fall on before it's too late.

[Via Ars Technica]

Read - MPAA proposal (warning: PDF link)
Read - FCC Electronic Comment File Submission (The docket number for field #1 ("proceeding") is 08-82.)

Moving beyond day-and-date releases via internet and HD video-on-demand, movie studios may be ready to move towards regularly putting movies online ahead of the DVD release date for a premium price -- that surveys say some of us are willing to pay -- but prepare to have your analog hole plugged again. The MPAA petitioned the FCC earlier this month to lift the existing ban preventing cable and satellite providers from remotely disabling analog outputs on their set-top boxes via selectable output controls (SOC). In a bit of ICT redux, the movie studios haven't said definitively that they will use the technology, but insist on having the ability to force anyone wanting to view high definition movies to only see them through an HDCP-protected HDMI output to a compatible TV. The failure of AACS and BD+ to prevent high quality copies isn't a deterrent to the MPAA's push, so while ICT has gone unused on Blu-ray and HD DVD, we're still too fond of our component outs, switchers and homemade cables -- and too wary of a future change in policy -- to support any changes in the law.

The MPAA has never been too high on college kids -- remember the dishonor roll? -- but it looks like Hollywood set is bummed about not being invited to that last kegger, because the MPAA is now admitting that it drastically overstated the effect of college downloading in previous studies. Back in 2005, the MPAA claimed that a whopping 44 percent of revenue losses came directly at the hands of carefree coeds nationwide, and used that number to pressure colleges into enforcing harsher downloading policies and even propose legislation currently before Congress that would tie federal education funds to copyright enforcement requirements. We're not sure why the industry is now backing off that 44 percent number, but it's now saying that "human error" resulted in a miscalculation, and the revenue loss from college piracy is more like 15 percent -- a number which is further disputed by campus IT groups, who say it should be more like three percent. Of course, while it's good to see the MPAA take an upfront stance on this, simply admitting you're sleazy doesn't actually wipe the slime off, so let's see how the industry approaches future studies, shall we?

Santa Clara County police arrested a 27-year-old "entrepreneur" with roughly 50,000 pirated DVDs stashed. The estimated street value of the collection adds up to $250k, and the movies naturally included titles currently in theaters -- including the critically acclaimed "Alvin and the Chipmunks." Police found the stash thanks to a 911 hang up at the man's home, and currently have him sitting in jail while everybody waits for the MPAA to redouble its consumer education efforts on this menace to society -- we're going to run out of plastic, people.

[Thanks, Paul B]