Can you say charge backs as users buy a membership only to find out they can't view the content.
The paysite that I manage had everything as WMV files and then we added Strongbox membership management which broke Mac users from being able to view WMV files. Mac users are less then 10% of her membership but became 100% of hassle instantly. We ended up re-encoding everything as mpegs and all is well now.
WMV with DRM also do not work with Linux or anything except Windows.
As far as WMV appliances growing just keep in mind that Apple's iPod has over 80% of the music player market and it doesn't play WMV files.
Also Linux and Mac market share is growing while Windows has started to decline.
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