[throwawaykf05]

> TV and Movie owners already have copyright laws and DMCA laws giving them legal control on who gets their content and how it is used.

And you have property laws giving you legal control over who gets your physical property and how it gets used. You could, for instance, loan your car to your family all you want, or agencies can rent their cars out as they wish. But the moment some stranger makes off with it, the government law enforcement agencies are obliged to help.

The legal distribution of content is a free market -- there is no government price setting agency and no monopoly more than other forms of ownership -- the public only needs to be better educated about what they are paying for.

[hrktb]

I've been thinking about it, and perhaps the conclusion could be that the moment you start loaning, you are by definition in a special situation. I guess in the wider sense of the term it is still a market, but it doesn't behave like how we use to think about markets.

With your exemple about cars for instance, if every car maker decided to refuse to sell their cars, and only accepted loaning them, they'd have a lot more control than they have now, as long as they collude to all go loaning only.

They could block reselling, forbid you by contrat from using your car for specific uses (or you'd need an extra fee for professional use for instance), they could get rid of all the second hand market and force old cars to retire prematurely. You are right that we'd fall exactly in the situation we discussed with Netflix.

The main issue is not digital property or not, it's basically that we have a model where there is no tranfer of property, and the producer only lends to the consumer instead of outright selling. As it was said in another comment, Netflix could own the physical DVD while now they only rent the digital copies.