As it is, activation codes are used on PC games, and gamers hate it. However, the PC market is small compared to consoles. This attempt at gaining control over buying and play habits of consoles is far more significant and needs to be pushed back.
From attempts by the record companies to tax blank tapes back in the 1980s to record labels attacking used record stores to Circuit City's epic failure with Divx, content owners have barely masked their greed and desire to control your consumption habits over the years. Generally speaking, when you buy something, you have a right to do what you want with it. The record industry tried to stop used CD sales and failed. Back in 1993, Garth Brooks (at the height of his popularity) attempted to refuse selling an album in stores that also sold used CDs, and it blew up in his face. Not only that, but the major labels wound up under an FTC antitrust investigation for their attempts to stunt used CD sales.