That article wasn't quite accurate. All it actually does is allow you to watch movies provided to you from a site which uses the Intel Insider service. Essentially the movies are encrypted by these cites so when they're sent out over the internet they can't be intercepted and saved on some hacker's hard drive since it can only be decrypted with the Intel Insider decryption garbage. I can personally vouch that Intel Insider does not block you from watching pirated movie DVDs or Blu-Rays. It also does not prevent you from watching a movie you're streaming that was recorded illegally. I may or may not have watched Thor using the latter method, and if i did *cough* Intel Insider made no attempt to stop me. The only thing Intel Insider does is prevent people from pirating content from companies that do use Intel Insider. Charlie (SemiAccurate) is known to exaggerate things a bit.
The technology known as Intel Insider does one thing and one thing only. It protects movies delivered from service providers that are specifically using Intel Insider to protect their content. It has to be enabled on the service provider side. Consumers with Intel Insider enabled PCs will have access to content in higher resolution (1080P) and potentially earlier release.

Intel Insider in no way affects any other new or existing media. It does not matter if you buy from iTunes, use home movies, or buy from a CD store, rip from vinyl, or from an 8-track, or bit-torrent. Intel Insider will not touch it.

The only people that will be negatively affected are those who wish to pirate content from services that support Intel Insider.

Intel Insider will not stop you from playing, manipulating or ripping optical media such as a DVD or Blu-ray disk (but those technologies have separate existing safeguards [known as HDCP]). Intel Insider does not affect P2P services.
As i stated, i may or may not *cough* have tested this, and Intel is telling the truth. If you're not using a service that uses Intel Insider, Intel Insider is doing nothing to your computer.