Eehhh at the end of the day, L1 is still almost impossible to bypass and hasn't been broken in years. So it still works, meaning it doesn't really matter even if it's security by obscurity (I dont think it qualifies for the term but anyways).
http://bits-please.blogspot.com/2016/05/qsee-privilege-escal...
https://googleprojectzero.blogspot.com/2017/07/trust-issues-...
My impression is the stuff coming from the various streaming services is not captured and reencoded, but direct bit-for-bit copy of the original H.264 (or H.265) encoding (sans DRM). (Yeah, others will do reencodes later but quite a bit of the source material encoding comes directly from the streaming sites.)
0: https://forum.xda-developers.com/t/nvidia-shield-pro-widevin...