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I gave up and installed AnyDvd.
The problem no longer exists.
I have the newest drivers, versions, and firmware for all involved products.

Still having the same problem.
I have an LG GGC-H20L, SAPPHIRE 100225L Radeon HD 3870 512MB 256-bit GDDR4 PCI Express 2.0 x16 HDCP Ready video card, and Sanyo 42" Diagonal Integrated Digital Wide Screen LCD FULL HDTV (1080p). All are HDCP compliant.
When I try to use PowerDVD to watch a BluRay movie it plays for approx 5 seconds and then says my system is not HDCP compliant. Regular DVDs play correctly.
Any suggestions?
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