You and your parent both bring up the point that Apple is a lesser evil in the DRM world, with Microsoft and Sony being guilty of employing much more intrusive DRM schemes.
The question in the headline, will people boycott Apple over DRM, then, appears to be the wrong one.
It's clear that people don't boycott, but they do pick the lesser evil. That means that a much better question is, "Will MS or Sony be able to come up with an iTunes alternative that is DRMless enough to win the popular vote?"
Microsoft supposedly has seen the error of its strong focus on DRM. Perhaps they'll get it though their heads that they can BEAT Apple by finding a way to just sell mp3s/mpegs to us at a reasonable price?