In effect, it would allow broadcasters to veto any features of digital televisions and downstream devices. So the FCC acting on behalf of these broadcasters could dictate the design of video recorders, optical drives, network interfaces, hard disks, computers and operating systems all in the name of preventing piracy. This would ultimately give Hollywood studios control over technology and ensure that technological innovation does not affect their business model.
One alarming element of the broadcast flag proposal is how it prohibits the use of free and open source software in digital TV applications (including PC operating systems, video drivers, etc). This is because tech companies would be required to build devices to be robust, to resist the attempts of their owners to modify them.
Sources:
Boing Boing
Electronic Frontier Foundation (Picture Source)
Written by: James Delahunty @ 3 May 2006 17:19