I saw this today and thought it frustrating and revealing: I always suspected something like that was going on with all the wonkiness dealing with media on Apple TV. It's very sad, as offline storage of content has strong benefits. This next week, for example, my wife and I are flying to Dallas for Thanksgiving and are wondering what to do with my curious, ever-active toddler for the 2-hour plane ride. We ended up buying a bunch of movies and TV shows on iTunes so that we can easily take them with us on our iPhone and iPod Touch, without having to lug around all the movie cases we'd need if we were using DVD's instead. It's brilliant because all the content fits into our pocket, and we can come home and watch it on Apple TV when we're done! I've never used BitTorrent to download a movie, not once, ever. It's not even installed on my computer. Likewise I don't know anyone who has passed around an iTunes movie on a thumb-drive and surrendered their password to anyone (considering access to the password means access to the use of your credit card for iTunes purchases). The studios are so stuck in the past, however, that they make it a pain in the a** for anyone wanting to legally download movies. I can see why people turn to BitTorrent and, frankly, I may consider it if the deals with the studios fall apart and get worse.