People who want to make a backup copy: well why don't you. You can install the game from your copied discs. You just have to pop in Disc Two whenever you feel like playing, and I'm sure this won't "wear out" the CD (the disc doesn't even have to be in there all the time, from the moment you see the intro movie, you can safely remove it and put it back in the vault if you wish). I remember when they introduced Compact Discs to the broad public, and one of the arguments they used was that one such CD would last a lifetime...
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Yep. It's a consumer right to be allowed to make a back-up copy of all your software. Copy-protection makes this hard to do (imposible for the average consumer) and is therefore "illegal". This is usually stated in the EULA for most software.
Apparently Larian thing's you can make a back-up copy.
That is backing it up, just not a actual copy on a cd.