TechForensics writes "A few days' testing of Windows 7 has already disclosed some draconian DRM, some unrelated to media files. A legitimate copy of Photoshop CS4 stopped functioning after we clobberred a nagging registration screen by replacing a .dll with a hacked version. That's not so much a surprise, but what WAS a surprise: Noting that Win7 allows programs like Photoshop to stealthily insert themselves in your firewall exception list. Further, that the OS is crippled towards allowing large software vendors to penetrate your machine. Even further, that that crippling is responsible for disabling of a program based on a modified .dll. Remote attestation, anyone? And then finding that the OS even after reboot has locked you out of your own Local Settings folder; has denied you permission to move or delete the modified DLL; and refuses to allow the replacement of the Local Settings folder after it is unlocked with Unlocker to move it to the Desktop for examination (where it also denies you entry to your own folder). Setting permissions to "allow everyone" was disabled!
Re media files, the days of capturing an audio program on your PC are gone if the program originated on your PC. The inputs of your sound card are severely degraded in software if the card is also playing an audio program (tested here with Grooveshark). Under XP you could select "Stereo Mix" or similar under audio recording inputs and nicely capture any program then playing. Microsoft appears to be pandering to Big Music for its own reasons unrelated to consumer satisfaction.
This may be the tip of the iceberg. Something *really nasty* is lurking under the surface of Win7. Being in bed with the RIAA is bad enough, but locking your own files away from you is a device so outrageous it may kill the OS for many persons. Many users will not want to experimenting with a second sound card or computer just to record from online sources, or boot up under a Linux that supports ntfs-3g just to control their files. (You never seem to know in Windows 7 when the "Access Denied" message is going to strike.) It is certainly beginning to be crystal clear why the coming WinFS will not be a good thing for userland, and a Very Good Thing for Microsoft and its partners."