Replies to post #121860 on Wave Systems Corp. (fka WAVXQ)

[bbigtim]

tampa/Mister Softee and the OEMs

I am a bit concerned about the Infineon/MSFT news, but that is because I see this as another variation on the plans of Microsoft to use TPMs for DRM. In this variation, instead of selling premium content to the user, they sell the right to use a PC for a defined period. Its not clear to me what role TPM key management and backup utilities like Wave offers play in these DRM schemes. The user is not creating encrypted content that could be lost. A list of the encrypted content purchased by each user could be maintained on a central server without the need to actually backup the local keys. However, in the variation where the rights being purchased are not the right to view content but the right to use the local PC, the operating system itself may be seen as another trusted application. You will need server utilities of some sort to manage the network of pay as you go PCs.

This may represent competition between Microsoft and the OEMS, but I don't see it as a reaction by MIcrosoft to incursions on their territory by the OEMs. OEMs often market software applications in conjunction with the software company. The basic TPM features in the bundled Wave software are analogous to the dumbed down or trial versions of many programs which are often distributed with PCs, and I don't really see the likelihood of recurrent revenues for the OEM beyond their cut if they sell the upgraded version.

It seems to me that this initiative by Microsoft might be more of a threat to the existing territory of the OEMs. Will Microsoft just provide the software tools for others to offer pay as you go access to PCs? Or does Microsoft actually aspire to operate this network of pay as you go computers itself?