Digital Video Recorders, once considered a mortal threat by the entertainment industry, have now become its new best friend. It's just the latest example of how the industry's constant warnings of the dangers of "piracy" frequently turn out to be baseless hysteria.

Remember 2001? Digital Video Recorders ("DVRs") like TiVo and ReplayTV were poised to win mainstream adoption, allowing consumers to fast-forward past advertisements more easily than before. In response, the entertainment industry behaved predictably — it freaked out and filed a bunch of lawsuits.

Industry analysts claimed that DVR "potentially threatens the very lifeblood of how television is funded and how it's used for marketing and advertising." A coalition of television studios including Viacom, Disney, and NBC filed suit against SonicBlue, makers of ReplayTV, arguing that skipping commercials "effectively circumvents the means of payment to copyright owners for the programming being viewed... (and) thus constitutes copyright infringement."

Fast-forward eight years, and these claims turn out to