With screen capture technology users could copy a valid movie played on screen and then pass that DRM free version around, so your system is flawed from the start. Dongles are sooooo 1980, get with the times.
But good on ya for having a go.
I think they only need to rent/sell the movies for 0.99c (like iTunes) and somehow rig them so that they only work for a limited time and eventually expire. You would have many many sales and virtually no pirating as what good is a movie that expires eventually? No point in copying it...and for .99c you can get a "good" copy of it...in many different formats?? That would beat dongles for sure.
Discussion on:
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