It wouldn't be so bad if the backup process would let you keep the movies. The way it stands now I don't see how anyone can say it's a good system regardless of what the competitor offers. With installs becoming the norm space is going to become an issue and stuff will need to be deleted. The people spinning this to be something good is absolutely laughable.

Both movie services are ripoffs imo. Why in the world would you spend $10-15 for a digital purchase strapped with DRM when a physical new release is the same price and catalog movies can almost always be found for less than $10. With that physical copy you could rip the movie to your PS3's HD or PSP Mem stick.  The "rentals" are even more of a joke. I've spent a lot of money on PSN/Live but I've never bought a single movie/tv show/music video.

EDIT: For those asking about how the 360 DRM system works it's very similar to Steam.  You can download items as many times as you want as long as you are logged into your XBL account.  If playing on a different machine you must be signed into Live or in the case of a replacement machine can transfer the licenses permantely to that machine for online & offline use.  This obviously isn't the case for movie rentals because they are in fact just a rental for a few days.

I think you missed my point.

IF you pay the $8-$14 for a permanent purchase then you should be able to delete/download as many times as you wish.

IF you pay the $2-$4 for a rental then the idea that you can delete/download more than once is actually nice.

That was my point. I didn't realize PSN had both options and the OP doesn't differentiate on which type is in reference, unless I just missed it.

Your right. It seems as though it went right over my head.

My bad.

How does this compare to XBL DRM and itunes DRM on movies and TV Shows? I think the rentals are the same for all 3.

This is a bad policy, you should always have a limit greater than 1....namely 3 (that is if you put a limit on things)!

PS3 should have just done the safe thing and had a system in play that you can have unlimited downloads but only on one set console. (Both wii and 360 have this)

But, people will complain about not having a choice to transfer....you can never satisfy one person in this world.

Yep, whatever you purchase follows the gamertag.  Works fine for me, my college room mate kept the 360 and I purchased a new version with hdmi and I was able to redownload everything I had paid for.

Ok. Not bad. And hey, SONY has to make sure movie studies don't get screwed over right???