(1) manufacture, import, offer to the public, 
provide or otherwise traffic in any— 
(A) analog video input device that converts 
into digital form an analog video signal that is 
received in a covered format, or an analog video 
signal in a covered format that is read from a 
prerecorded medium, unless any portions of 
that device that are designed to access, record, 
or pass the content of the analog video signal 
within that device— 
(i) detect and respond to the rights 
signaling system with respect to a par-
ticular work by conforming the copying 
and redistributing of that work to the in-
formation contained in the rights signaling 
system for that work in accordance with 
the compliance rules set forth in section 
201 and the robustness rules referred to in 
section 202; and 
(ii) pass through or properly reinsert 
and update the CGMS–A portion of the 
rights signaling system or coding and data 
pertaining to CGMS–A, and pass through 
the VEIL portion of the rights signaling
system, in accordance with such compli-
ance rules and robustness rules; or 
(B) analog video input device that does not 
convert into digital form an analog video signal 
that is received by that device in a covered for-
mat, or an analog video signal in a covered for-
mat that is read from a prerecorded medium, 
unless that device— 
(i) preserves, passes through, or prop-
erly reinserts the CGMS–A portion of the 
rights signaling system or coding and data 
pertaining 
to 
CGMS–A, 
and 
passes 
through the VEIL portion of the rights 
signaling system, in accordance with the 
compliance rules set forth in section 201 
and the robustness rules referred to in sec-
tion 202; 
(ii) outputs the analog video signal in 
a covered format; or 
(2) manufacture, import, offer to the public, 
provide, or otherwise traffic in any technology, prod-
uct, service, device, component, or part thereof, 
that— 
(A) is primarily designed or produced for 
the purpose of modifying or causing an analog
video input device to no longer conform to the 
requirements set forth in paragraph (1); 
(B) has only limited commercially signifi-
cant purpose or use other than to modify or 
cause an analog video input device to no longer 
conform to the requirements set forth in para-
graph (1); or 
(C) is marketed by that person or another 
acting in concert with that person with that 
person’s knowledge for use in modifying or 
causing an analog video input device to no 
longer conform to the requirements set forth in 
paragraph (1). 
SEC. 102. EXCEPTIONS. 
Section 101 shall not apply to a particular product 
or device that— 
(1) was legally manufactured and sold as new 
before the effective date of this title and is subse-
quently offered for sale or otherwise trafficked in, if 
such product or device has not been modified, after 
such effective date, so that the product, if in compli-
ance with section 101 before the modification, is 
configured so that the product or device is no longer 
in compliance with that section; or
(2) is a device capable solely of displaying pro-
grams and cannot be upgraded or readily modified 
so as to incorporate transmission, redistribution, or 
recording capabilities. 
SEC. 103. ENCODING RULES. 
No person shall encode a program, or cause a pro-
gram to be encoded, using the rights signaling system, un-
less such encoding meets the following requirements: 
(1) The rights signaling system may be encoded 
so as to prevent or limit copying, redistribution, or 
both, of prerecorded media, video-on-demand, pay- 
per-view, subscription-on-demand, and undefined 
business models that are comparable to any such de-
fined business model. 
(2) The rights signaling system— 
(A) may not be encoded so as to prevent 
first generation of copies permitted under title 
II of pay television transmissions, non-premium 
subscription television, free conditional access 
delivery, and undefined business models that 
are comparable to any such defined business 
model; but 
(B) may be encoded so as to prevent or 
limit further copying or redistribution, or both, 
of any defined business model or comparable