Cory has an interesting item about Digital Rights Management (DRM) vendors using latency to determine proximity of devices on the internet. To quote his co-worker:
So some systems have been adopting rules about not sending some programming to devices that take more than a certain number of milliseconds to answer you when you say hello and ask them for acknowledgment, on the theory that devices that answer really quickly plausibly are on the same local network, whereas device that answer more slowly probably are not.
Such a concept assumes consistent latency across the internet – essentially a quality of service that does not exist. Even within my home network there are both wired and wireless devices though the latency may be indistinguishable.
At any rate, if I have paid for the content why would I not be able to view it even if I were sitting halfway around the world? Ideally I would like to load content to my audio/video server and they access it from anywhere for personal use, which should still be quite legal and unencumbered.