Maybe I'm just a moron, but couldn't a lot of this problem be solved by making the decoder free to use in all circumstances? They already allow free Internet broadcast at no royalty, and have other free parts of their licensing now, so they're clearly open to the concept at least.

If I understand things correctly, for people shipping decoders the royalty amount is capped at $6.5 million a year. So they're making $6.5 million from Microsoft, Apple, Sony, Toshiba, Samsung, etc. All in all, probably a few hundred million over everyone?

Would it not be more advantageous to leave that money on the table, completely entrench your format EVERYWHERE, and then pick it up on the professional/encoder side of things?

CNN, CNET, Fox, whoever, probably wouldn't mind paying a little more and getting a single universal format for everything everywhere and home users/hobbyists can play for free since they'll never hit the thresholds. Startups can get going by working in the free zones (< 100k paid subs, free un-paid use).