Hollywood has taken a baby step forward in becoming a digital medium, but hardly seems willing to jump in with both feet.
Tuesday, a consortium of studios, television networks and technology manufacturers ratified a proposal to safeguard digital TV shows, though the agreement also brought the companies' differences to light.
The pact, forged by the nascent Broadcast Protection Discussion Group (BPDG), is an initial attempt to develop industry standards for digital television transmissions, required for high-definition networks.
Once a digital signal is received by such a set, it is vulnerable to easy duplication and online distribution without any noticeable loss of quality.
The pact calls for future television receivers to contain a so-called "demodulator" that would recognize digital transmissions and disables their ability to be put online.
Manufacturers such as Royal Phillips and Microsoft were unimpressed by the pact, complaining that too much power is consolidated in the hands of television manufacturers. Online rights advocates contend the scheme is an infringement on copyright law exemptions called "fair use," which allow consumers to record and playback shows.
Digitalizing movies, television shows and other content is seen by many as a savior for the lagging online world. High-quality digital content could be the catalyst to create giant video-on-demand (VOD) networks that would pump movies into homes over high-speed access.
Content producers, including movie studios, television networks and production companies, are less enthusiastic, spooked by the ease with which hackers are able to unlock any content-protecting technology.
"Protection is a key element for any move towards the future," said Scott Dinsdale, who oversees technology strategies at the powerful Motion Picture Association of America, which has tentatively backed the BPDG initiative.
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