Hey Ross. Who is Chris? :) My friends call me Christopher.
The basic need to apply some form of content protection to Internet content is very relevant when you start to look at the paid media arena. Ad-supported content can benefit from DRM tremendously when you are talking about distributed and/or viral business models in P2P and F2F [forward to friend] environments.
That baing said, the current Ad-supported model for Flash now includes encrypted playlists, an encrypted version of RTMP, SWF hashing and a variety of other mechanisms which will thwart or disrupt or deny products like the one you mention. Of course by not watching the ads or participating in the sponsors' businesses, one is putting a timeline on the media they consume. That's a risk you take I guess :)
Adobe released a new version of FMRMS today which has greatly expanded their ability to provide paid, ad-supported and enterprise access control for Flash Media. It's safe to expect an expansion of these technologies in the marketplace.
For Silverlight, DRM affords Windows Media content to become part of more and more PC / Mobile / Lean Back business models. Comes With Music is the first of these models. Device agnostic Zune will be the next wave and I predict an overall surgence of DRM-enabled models where Silverlight is in play.
A good example of a blended Silverlight / DRM business model is in play here:
http://shop.abc.net.au/browse/product.asp?productid=954600#PlayerOpen
ABC is a customer of ours and we think their experience and product is very viable and will kick off a wave of pay-media. It's similar to the product we launched for TV-NZ:
http://tvnzondemand.co.nz/
This model is a blended ad-supported, pay-media model. Our research shows this to be a strong candidate for the future of how Television specific media is consumed via the Internet.
I hope this information is helpful and I guess we are the lone rangers on this forum... for now :)