According to a user at Doom9 forums, it appears that AACS has been compromised and compromised in such a way that you may soon see HDDVD, and Blu-ray backup software in the market in the near future.

According to arnezami, the person who found the hole, the process was pretty simple:

"But I'm shocked! It doesn't appear to be anywhere near random as I expected it to be!! This could mean (just maybe) its guessable/computable... "

Will we see a slew of lawsuits coming out after software developers create simple GUIs to take advantage of the hole?