The reason why you have to rip is because finding the key to decrypt the HD movie is buried in the data. If more and more people see a repetition where the key is buried, it can be extracted easily. The next hard part is creating an efficient method of decoding and playing back 1080p data. This is not an easy task for a processor. A computer containing at the least a 3 GHz processor such as AMD Athlon 64 X2 6000+ (Windsor) will have to be used. This processor will be good enough to handle the video codecs that HD movies uses.
Another obstacle is supporting eight channel LPCM, AES, and HDCP. The AES encryption and decryption is not bad, but HDCP have to be done to make the display output proper 1080p.
Anandtech.com did an extensive review about HD movie. The following describes what needs to be done to get the full effects of HD movies.
I am sticking with DVD because it does not have a catch-22.