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When in doubt, look at Amazon.
There is no technical reason why a Kindle cannot read a secure mobipocket title; the only thing stopping it is Amazon's fiat which prevents the DRM servers from authorizing a Kindle PID. This is not about preventing piracy, this is all about lock-in and control.
Kindle owners are only to buy secure books from the Kindle store.
That's DRM in action. That's what it's really designed for and that's how it is used. Opening the Mobipocket DRM servers to Kindle PIDs would have precisely zero effect on piracy. All it would do is loosen Amazon's leash on Kindle owners.
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