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June 23, 2009 11:38 AM PDT

Point-of-sale video game activations won't work

by Don Reisinger
  • 33 comments

The Entertainment Merchants Association, an organization that represents North American entertainment retailers, reported in the latest edition of its trade publication, Inside EMA, that point-of-sale video game activations could help save the industry "billions of dollars" in lost sales due to theft and piracy.

Sony PlayStation 3

Will benefit denial be coming to your video games?

(Credit: Sony)

Dubbed Project Lazarus, the organization's initiative plans to determine "the feasibility of deploying 'benefit denial' technology on retail optical discs."

According to the EMA, its study has found that benefit denial, the "concept of denying a shoplifter or internal thief the ability to use stolen goods," could lead to reductions in theft and piracy.

The study isn't complete, and associated costs still need to be analyzed. But the EMA says benefit denial could substantially improve the process of buying games.

According to the organization, games should be shipped to retailers in a "locked state and then automatically 'unlocked,' based on a point-of-sale transaction." So if anyone attempts to play a locked game on a console, it won't boot up. Only after the sales transaction is complete will the game be activated. It can then be played on the game machine of their choice.

The EMA thinks that this is the future. I think that the plan is a loser.

... Read more
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About The Digital Home

Don Reisinger is a technology columnist who has covered everything from HDTVs to computers to Flowbee Haircut Systems. Besides his work with CNET, Don's work has been featured in a variety of other publications including PC World and a host of Ziff-Davis publications.

Don writes product reviews for InformationWeek and is a regular contributor to Processor Magazine. You can visit his personal site at DonReisinger.com or if you would like to email Don with questions or comments, drop him a line at CNETDigitalHome@gmail.com. He is a member of the CNET Blog Network and is not an employee of CNET. Disclosure.

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