Some non-locked (no Macrovision) DVD's (especially DVD +/- R's) can be opened in explorer and the content can be dropped as is within the Vegas timeline. With other DVD's you can only drop the video to the timeline--the audio has to be converted, or else you have to hardwire the audio to record on your sound card.

If it is blocked, it usually won't work.

I also have an ATI All-In-Wonder hooked to a DVD/VHS player. I can record live from the unit and save in multiple formats--unless the DVD has Macrovision--then the ATI (who willingly complies with the broadcasting industy's wishes) gives a nice warning and won't record--except the sound.

There are some DVD players where you can update the BIOS and it will defeat the Macrovision blocking--the DVD is then wide open. Apex is a common "BIOS upgradable" unit (details can be found on several websites).

The only reason I have ever tried to defeat Macrovision is if there is a cool graphic or something that I want to use for a "personal" and fun family project (a Hulk or SpiderMan birthday party, etc.). I would never use it nor do I recommend it for anything commercial or to copy DVD's (most are pretty cheap anyway).