As far as what I know yes. At the IO event they mentioned device specific encryption so regardless if you are rooted or not, the movie will only play on authorized devices. This should be enough to satisfy content distributors with regards to the ability of rooted users to redistribute content.
I've always been able to, after getting no answer from Google as to why they were treating me like a thief just because I have root I found a modified apk over at SDX that only bypasses the root check but still leaves the copy protection intact so it's not warez.
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