Games consoles such as the Microsoft Xbox or Sony Playstation 2
include copyright protections that prevent them running pirated
games, or games subject to regional control (where a console bought
in one part of the world cannot run games purchased in
another).
Mod chips are designed to circumvent these protections. As such,
mod chips and "chipped" consoles are in breach of the controversial
Digital Millennium Copyright Act (DMCA), which prohibits the
manufacture and distribution of products or services that
circumvent technological protection measures designed to prevent
unauthorised access to and copying of copyrighted materials.
According to the ESA, Amin and some of his employees modified
Microsoft Xbox video game consoles and turned them into what
Pandora's Cube called "Super Xboxes." These Super Xboxes were
designed solely to defeat the Xbox's copyright protection system
and permit the user to avoid purchasing and paying for legitimate
Xbox video games, said the ESA.
The Pandora's Cube employees also loaded illegal copies of video
games onto the hard drives of the Super Xboxes, in violation of
federal copyright law, it claimed.
Amin was sentenced to five months in prison with three years of
supervised release, including five months of home confinement. He
was also fined $247,237.05 and ordered to complete 80 hours of
community service as part of his sentence.
He is the fourth Pandora’s Cube employee to be found guilty of
conspiring to commit felony copyright infringement and conspiring
to violate the DMCA. Mguresh Amin, a store manager, has already
been sentenced to six months home confinement, twenty-four months
probation and 150 hours community service.
Herbie Walker, a senior retail manager, was sentenced to six
months home confinement, paying for the costs associated with
electronic monitoring, twenty-four months probation and 100 hours
of community service, while Hitesh Patel, a store manager and
technician, received a sentence of four months in prison, with two
years of supervised release including four months of home
detention.
According to ESA president, Douglas Lowenstein, "Sentences of
this magnitude send a clear message to game retailers that selling
pirate products has serious consequences, including prosecution to
the fullest extent of the law."
UK position
In the UK, the modification of consoles has been an illegal
practice since 31st October 2003, when Regulations were passed that
made an amendment to the Copyright Designs and Patents Act.
The new regime allows rightholders to take action against
individuals who circumvent what the law calls Technological
Protection Measures, or TPMs, to make unauthorised use of
copyrighted works. Action, including criminal action, can also be
taken against those who make and distribute equipment designed to
circumvent TPMs.
Accordingly, the whole process of chipping consoles is illegal,
including selling and advertising chips as well as providing a
service for chipping.
The UK saw its first criminal conviction for the illegal
modification of video games consoles in July.
