While the Tivoization is allowed via GPL v2, it has been argued that it was never intended.

This is obviously not the case with the BSD license, and if it was they would have released another BSD license that fixed it.

That is the system I want to see for music. One where I am able to hear an artist's music before I spend money, and then vote with my dollars who I think is the best.

I humbly suggest Magnatune

How would the GPL work if there were no copyright on software?

For example, lets say you make a peice of software called TextWriter. I like it, so I take it and modify it, add some stuff and make it incomputable with your version but still use most of the same code and a similar GUI that you developed. I don't give anyone the source code, or anything else but a $100 binary executable. If there is no copyright on the software, you can say you publish it under the GPL all day and I don't have to listen to you, because you have no legal right to control what I do with the software.

3. You may copy and distribute the Program (or a work based on it, under Section 2) in object code or executable form under the terms of Sections 1 and 2 above provided that you also do one of the following:

a) Accompany it with the complete corresponding machine-readable source code, which must be distributed under the terms of Sections 1 and 2 above on a medium customarily used for software interchange; or,

b) Accompany it with a written offer, valid for at least three years, to give any third party, for a charge no more than your cost of physically performing source distribution, a complete machine-readable copy of the corresponding source code, to be distributed under the terms of Sections 1 and 2 above on a medium customarily used for software interchange; or,

c) Accompany it with the information you received as to the offer to distribute corresponding source code. (This alternative is allowed only for noncommercial distribution and only if you received the program in object code or executable form with such an offer, in accord with Subsection b above.)

Section 3c does not apply because they are selling the machines with the object code on them. Thus the machines must come with either the source code, or a written offer from Dibold to provide the source code. If neither of these are present, then they are in violation of the GPL regardless of weather receivers of the object code (purchasers of the machines) request the source code.