Most DVDs and video games contain anti-copying software, known
as CSS, or Content Scrambling System, which uses encryption to
prevent them from being copied - except by players containing the
correct keys.
St Louis-based 321 Studios developed software, incorporated in
products called DVD Copy Plus, DVD-X COPY and Games X Copy, which
"ripped" the CSS, allowing the copying of the game or DVD.
It became the subject of numerous lawsuits, mostly based on the
US Digital Millennium Copyright Act, or DMCA, which prohibits
people from using or distributing devices that can bypass
copyrights and copy prevention measures.
321 defended these claims vigorously, arguing that the software
merely allowed people to make fair use of their DVDs, making backup
copies in case the original was destroyed or damaged - but the
courts were not convinced.
By June this year the company was the subject of three
injunctions in connection with its DVD copying software, and was
forbidden from selling or distributing its DVD Copy Plus and DVD-X
COPY software.
On Thursday last week, Atari, Electronic Arts and Vivendi
succeeded in obtaining another worldwide injunction against 321 –
relating this time to the company's Games X Copy software. It
appears to have been the final nail in the coffin for the
controversial firm, which indicated in June that the lawsuit might
force its closure.
According to the 321 web site:
"321 Studios regrets to inform you that it
has ceased business operations including, but not limited to, the
sale, support and promotion of our products. Despite 321 Studios'
best efforts to remain in business, injunctions entered against 321
Studios by three US federal courts earlier this year has resulted
in 321 Studios no longer being able to continue operating the
business".