A while back (may have been a year or more) Verizon changed the output of STBs that will no longer allow the content to be copied and saved by an external device that has copy protection detection.
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I still have the older, Motorola QIP 7232 2 HD DVR. I can record DVD's while watching any movies, even the On Demand pay movies. A friend of mine was bragging about getting a great deal on a HD DVR upgrade, with much more features. This friend is now wishing she had her old box, because she can't record anything. I am keeping my older version HD DVR as long as possible.