I'm reviving this thread from 2012. Flash forward to the future, this incident ended up pushing my brother to Android and he's never gone back.
We recently turned on Family Sharing so I can access his old library and I've seen a few, but not all, of the movies iTunes pulled that have since been added back into his account. He still lost over $100 in purchases because of licensing transfers.
I wanted to check in with the forum and see if anybody who experienced this issue back in the day notice if their movies are back. I know I lost a couple of films too but I ended up repurchasing them.
Licensing is licensing. Google, Amazon, Apple, and everyone else all have the same issues when it comes to digital downloads.
Any DRM protected digital file has the risk of being broken by the rights holders.
It's not just a cloud issue. Folk think that if they have downloaded a copy and kept it locally, then they're good to go. They're not.
DRM protected files invariably require online validation before being played. If the rights holder feels that the item is no longer licensed then your download could be rendered permanently unplayable.
So thinking this is an Apple only problem is naive. It's an everyone problem.
Case in point: in 2009 Amazon deregistered copies of 1984 and removed them from users Kindle devices. Fortunately they subsequently refunded the purchase price, but this shows that no DRM digital item is 100% guaranteed to stay with your for life.
When you buy a digital download you buy a non transferable license to the item. Said license can be revoked at any time.
This is from Google's agreement (emphasis mine):
When you purchase an item of content, your content will be stored in a digital locker. Each Locker Video Content will be available for unlimited viewing
for as long as the rights exist to provide you with that content ("Locker Period").