Just bought a new Dell XPS12 and upgraded to Win 8.1 with WMC. Same issue as above. Dell refuses to address issue as they feel it is a Microsoft driver issue. When is Microsoft going to address the Displayport HDCP compatibility problems????
Don't count on it as it may never happen. I've since moved from a Cablecard tuner to the Hauppauge HD-PVR which records from the cable box via the component connectors. I can view the material on any device I wish. I was not able to distinguish any loss of video/sound quality.
There are of course many limitations with this approach, but from a practical standpoint I'm much happier after the switch.
It's one of those cases where it's so much more difficult to be compliant with their rules that you're better off circumventing the entire thing. Overall a ridiculous situation.