Earlier quoted context omitted.
While I agree with you in spirit... were you expecting that you could... burn the film to a DVD or something? Of course buying a movie on itunes means you can only watch it on capable devices. You can't play a youtube video on a VHS player either.
Not at all (hence saying "obvious in hindsight"). Simply pointing out that, at the time, my purchasing decision wasn't influenced by how many use cases it would restrict. Also, IIRC, there was a period where you could burn Audio CDs from music that you purchased on iTunes. edit: turns out music purchased on iTunes is DRM-free!
Music purchased on iTunes is DRM-free, so you can definitely burn CDs with them.