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Movies

Study Claims Point-of-Sale Activation Could Generate Billions In Revenue 140

Late last year we discussed news that the Entertainment Merchants Association was pondering a plan to develop technology that requires games and movies to be "activated" when they are sold at retail outlets, primarily to reduce theft and piracy. Now, the EMA claims a study they commissioned has indicated that employing such a system for video games, DVDs, and Blu-ray products would generate an additional $6 billion in revenues each year. Critics of the idea are skeptical about the numbers, pointing out that the majority of game piracy comes from downloading PC games, which this plan won't even affect. There are other problems as well: "In order for benefit denial to work, the EMA would presumably require the three major consoles to have some sort of activation verification function to ensure that games were legally purchased. It will be interesting to see if Nintendo, Sony, and Microsoft agree to that. There is also a lucrative market for used video games to consider. After some gamers complete a title, they sell it back to the retailer. How will benefit denial handle that situation?"

Comment Re:Don't forget to factor in the SMSC (Score 1) 570

Heh. I've seen the bills for those "outdated desktop with some software installed". You would not know they were outdated...

SMSCs _are_ expensive, regarless of what the /. crowd may think. In fact, every component of a telco network is more expensive because of the "carrier grade" moniker.

SMS is a good deal for the cellular carriers. In the beginning, it simply used the control channel to send messages back and forth, with a single, non-redundant SMSC.

All of a sudden, the service took off and costs increased (expansions in the control channel, adding cells, increasing bandwidth). Still, the profit margin is very healthy.

With all this considered, paying 10E-2 US$ for a SMS (actually twice, sender and receiver) is too much. The reasoning here is that the telco wants to force you to get a package of SMS, so that the money is on their pocket upfront.

And yes, I do come from a telco.

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