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It's tough to know which CDs, SACDs, and DVD-Audio discs have been restricted through watermarks or other "copy protection" techniques. This has created a thriving underground community, with websites such as Fat Chuck's devoted to sussing out the corrupted audio products and posting notification to consumers.

But what would happen if all altered products, both software and hardware, were required to carry notification to consumers that the product they were buying had restrictions built in? Would music fans shun the restricted discs and players, or would they shrug their collective shoulders and still open their wallets?

Senator Ron Wyden (D-Oregon) is betting the consumer will care, and says he will likely be introducing a bill that would require consumer electronics hardware or media such as audio CDs to be clearly labeled with explanations of any anti-copying restrictions. Wyden presented his views at last week's Intel- and digitalconsumer.org-sponsored Digital Rights Summit. Wyden says he's introducing his bill because "I want people to walk into every store in America and see that the product they're about to buy has restrictions. Let's take this to the marketplace."

Restriction technology opponents recognize that in spite of their protests, Hollywood is likely to continue exploring ways to control content. The hope now is that, with labeling in place, consumers can send a clear message to the media maker's bottom line. Intel's Donald Whitehouse adds that his company "is very supportive of consumer notification. A reasonable objective is to get consumers engaged through labeling of content."

In his presentation, Stanford University law professor Larry Lessig offered a twist on Hollywood's copyright control mania. Go ahead and include digital rights management with media files, says Lessig, but don't restrict a file's use, just make sure the money is sent to the right place every time the file is used. "Never in our history have fewer been in a position to control more of the creative potential of our society than now. We have to buy them off, so they don't break the Internet in the interim."

Other hot topics at the conference included the dampening of new technology development as a result of the litigious copyright environment. Several company representatives reported that they have lost business and funding due to the threat of litigation over products they were developing. SONICblue's Greg Ballard said his company spends about 20% of its capital expenditures on legal fees. "Companies like ours are going to stop innovating because at the edge of innovation is a lawsuit. We cannot afford that risk."