Invasion of Privacy?

According to an article on vnunet.com there are plans by one of the major DVD manufacturing companies to embed chips into the discs so that their movement can be tracked to help combat piracy. Now this just screams "wrong" to me. I'm not sure how it can help combat piracy, but it will help to track wherever you go with the DVD, and to some degree what DVDs you own as once more and more discs have these chips they will know what chip embedded discs are in the same locale.