The used DRM software comes from First4Internet which provided its XCP anti-copying technology The software is mainly aimed at preventing large scale 'casual' copying. It will allow users to make a limited amount of copies for backups or personal use but will restrict mass burning and the danger of mass piracy.
XCP2 CDs are formatted in such a way that they are recognised in the correct format for the device in which they are being played. However, it does include an encapsulation process that surrounds the audio content controlling device access. When the CD is burned, the DRM goes along too. It then prevents the CD copy from itself being copied. First4Internet says that its technique allows the data on the disc to be fully protected while not affecting sound quality.Sony also uses a DRM solution from Sunncomm and MediaMax but the XCP software seems to have gained its favour. More info at PC Pro