For that kind of money, I think most people would have a problem with that kind of limitation.
I get the anti-pirate measures on their HDD, but they didn't have to charge that much for it.
120TB HDD hardware is about $4K in cost (12TB ~ $400). I can see an upcharge. But $35K?

That's a total ripoff.
I don't see K-scape being more than a small niche market because of the huge upfront cost of the Player + huge upfront cost of the HDD-Storage + paying $30 for each new movie.