Valve "Not interested" in Machinima

And the big news at the end of the year keeps on coming:

Pixel Eyes Productions have been trying to get an answer out of Valve Entertainment forever on the subject on Machinima, and finally, they’ve got this:

”“We are not interested in licensing our technology or IP for machinima. This includes providing copyright approvals.

(Emphasis mine)

Wow. That’s kinda big news. The creators of arguably the best engine out there for high-quality Machinima has no interest in letting it extend beyond YouTube.

Having said that, it’s not new. I’ve had similar conversations with iD Software in the past - the summary being “We’re a games company, not a film company.”

Pixel Eyes have some interesting analysis on their blog. I haven’t really thought through this news yet, so - what do you think?