A drastic move in the group's strategy would stop OEMs from distributing copying systems on the market. Such decisisions are certainly adverse to Kaleidescape's interests, a company which makes products that store movies originating from diverse discs onto a product's hard disk, allowing for later playback. Kaleidescape and the DVD CCA debated in court earlier this year, whether its system adequately secures copies of movies stored on its hard drives. But a Superior Court judge ruled that Kaleidescape's media server does not violate the CSS DVD protection technology, describing the CSS licensing specifications as "poorly worded".
Kaleidescape is battling the amendment, declaring that competition in the market will cease to exist and technical innovations won't be presented in the future. Michael Malcolm, Kaleidescape's founder and chief executive, in a letter sent to EE Times, wrote that the proposed amendment would restrict consumers' options on how they can use their DVD, and will violate their legal rights.
Three members of US Congress, the members of the US Federal Trade Commission, several members of the US Department of Justice, the European Commission and presidents of many of the key DVD CCA member companies including Disney, Fox, HP, Intel, Microsoft, Sony, Toshiba and Universal are those to whom Malcolm sent the same, aforementioned letter in an effort to prevent the DVD amendment.