The Bundesrat pushed aside criticism from consumer protection groups and passed the law, which makes it illegal for anyone to store DVDs and CDs without permission. The law also covers digital copies from IPTV and TV broadcasts.
Consumer groups and the Green Party had campaigned in vain to include a "bagatelle exemption," so that the measure would not "criminalize" youths and other private users. The law is set to take effect in 2008.
I havent checked out other sources or commentary on this but this is crazy. Presumably under this law, my iTunes, which contains music from cd's I own would be infringing. Even for those cd's where I have the express permission of the artist who owns her own label to make as many copies as I want.
Ok, Techdirt has a bit more detail. Apparently it is to further criminalize breaking copyright protection. So you can copy things that weren't protected to start with.