The problem is that everything is hackable. Every console since the PS1 has been hacked and making copies of PC games is even easier since you don't even need to mod your own PC to do it. All you need is a copy of the disk.
That's why more and more developers are moving to console games, they are hackable but a lot harder so in the end they just lose less money over it. At this point in time, with current technology, I think having to be logged in to play a game is the only solid way of protecting a game. EA uses this DRM with C&C 4, you have to be logged in to your EA account even if you want to play the single player missions.
Also, how often is it going to happen you want to play a game where no internet is available? 9 out of 10 times you'll just play the game at your home computer. I don't see people throwing fits because their Xbox game is tied to their Xbox which they can't take with them everywhere they go.
IMO the idea of having to log in is good, but the execution is lacking a bit in Ubisofts case. If you're going to make your game dependent on such a thing, you better be 120% sure that the server will be available 24/7. And of course the game should be patched to disable that feature when Ubisoft decides to take the servers offline.
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When one person suffers from a delusion it is called insanity. When many people suffer from a delusion it is called religion.
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