7

ADAM GERVIN: Our system is designed so that if you have a piece of software that has not been purchased legally, it simply doesn't work.

HATTIE: (Voiceover) Adam Gervin is senior director of marketing for MacroVision.

ADAM: In the press a lot of people talk about the DRM and they are focused on security. Digital Rights Management. The truth is DRM is a lot less about security and a lot more about the business models that allow content owners to provide (to) consumers.

I think the emphasis should be that in a world where there is so much competition for the consumer's dollar and the consumer's mindset, the focus online should be getting the right piece of content to the right person at the right time. So let's say you're a game fan. And a particular game has levels. It will let you play level one and level two then when you are about to start level three it will offer you the opportunity to buy that game.

HATTIE: And this is your try me, buy me strategy.

ADAM: Exactly.

STEVE: Years ago it was all about piracy and now it is all about how do I get it to someone in a secure manner. In a way that people can get compensated. That is the future. I really think that is the future.

GEORGE: You'll be able to put in controls and constraints as long as you have a legal basis for it and as long as that's part of the equation.

I think you're going to have a situation that there's going to be technology that is trying to do free everything and there will be other technology that's going to limit it and you hope with some education, some talking to people, some realizing the consequences of your action and some business models by the industry that are actually things that people want -- creative, flexible and I get what I want fairly soon, it doesn't cost that much which is where a lot of the industry is moving right now.

So it's great to have free distribution of information. It's great to have an Internet that's essentially unregulated, but at the same time there needs to be some checks in place so that you just don't have a wild west continuing. I thought it was in danger of doing until recently. Actions have consequences. In this day and age when everything happens so quickly people often don't think of the consequences of what they do, but they should.