I'm pretty sure that Ultraviolet isn't meant to be an effective digital distribution system but rahter something they can point to when dealing with governments/courts to show that they are totally making the product available online, so they totally need ridiculous statuatory damages and harsher laws. That or it was designed by someone who's never made an online transaction and probably doesn't believe in QA.
I don't think the former is true.
Makes me wonder how much better the implementation is with Disney and its version of the same thing.
I certainly like the idea of Ultaviolet (a system that lets me stream content I bought on disc).
Of course in reality its easiler for me to just rip discs I own instead. Though my current bandwidth limits makes that not very useful when I'm away from home.