Philips work hard against pirates

Philips is currently hard at work to develop a new technology which places a unique watermark on all video broadcasts. These watermarks can be traced back to the original set-top box where the signal originated from. According to Philips, this watermark cannot be separated, removed, or altered in any way, making it virtually impossible not to be traced. Will this move see a reduction in piracy? I suppose it would, assuming there is a follow up system for somebody to trace all those illegal videos with watermarks, otherwise a system without enforcement would be redundant.