Sony CMT-AH10 Instruction Manual & Warranty page 124

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Explanation (continued)
Rules for copying digital audio software (Serial
copy management system) Digital audio is an
audio device that exchanges audio signals as
numerical values (digital). This includes
compact discs (CD), mini discs (MD), and
digital audio tapes (DAT). They make copying
music easy and almost lossless. For this
reason, there is a need for copy control to
protect the copyrights of music software. It is
a "serial copy management system". The
design of this machine complies with this
system. The outline is as follows.
Copying* between digital signals can be made up to one generation in
principle 1. Although copies of commercially available digital music software
can be made, copies of copies cannot be made.
Principle
2 : You can make copies of commercially available analog
music software (analog records and music cassette tapes) and
recordings of public broadcasting, but you cannot make copies
of copies.
This principle does not apply to recordings
that convert digital signals to analog signals,
such as when recording by connecting the
analog output terminals of an MD player. *
Copies here refer to "recordings of digital
signals as they are".
Note
Making copies by removing or altering copy control signals for
protecting copyrights is prohibited by law, even for personal
enjoyment.
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