Apple TV device doesn't use DRM

An anonymous friend at an MPAA member-company sez,

Now that my NDA issues are gone, a little tidbit for you.

The Apple TV device has HDMI and component outputs. As of the launch, it doesn't have the HDCP anti-copying technology.

As you might imagine, this is an issue to media companies
and they aren't sure if they'll supply HD content.
They want money but they want 'security'.

Consider that the Xbox 360 has video component HD out (no HDCP) and
the Apple TV will have HDMI and component out (no HDCP).

Is the de facto standard now set by Apple & Microsoft?

Funny to hear that Apple is refusing to put DRM on its high-def TV offerings -- expecially after Steve Jobs told the entertainment industry never to release HD material on DVD, unless tech companies promised not to make HD-capable DVD burners.