criminal penalties may counterproductively encourage warez trading by making it a little more daring and impressive. If the goal is to reduce copyright infringement, it may actually be that DRM is not only not cost effective, but counter productive. What sort of egoboo can one get for cracking something that doesn't have DRM? Hodder: Grokster Victory in 5-8 Years In 5-8 years, I think the Grokster problem will be solved by a combination of: 1. business model changes by legacy media; 2. changes in demographics because the fact is there will be a critical mass of users who have grown up with digital models in the heads (who are now young enough not to be of voting age but soon will be); and 3. where enough activity online is about people sharing and trading their own stuff (user generated media). It will be little media makers, supplying their own demands, who will solve this legal problem, first. Legacy media will follow behind them. All those legacy media companies, in order to continue to be as relevant to the masses as they have been in the recent past will have to come to the party and play in order to keep their stuff in front of our eyes. That is, the digital media party online, where they find that in order to participate, they have to give up some control of their copyrighted works, and rethink their models to include things like giving away some media in order to make money