A modchip (short for modification chip) is a small electronic device used to alter or disable artificial restrictions of computers or entertainment devices. Modchips are mainly used in video game consoles, but also in some DVD player or Blu-ray players. They introduce various modifications to its host system's function, including the circumvention of regional lockout, digital rights management, and copy protection checks for the purpose of using media intended for other markets, copied media, or unlicensed third-party (homebrew) software.
Most modchips consist of one or more integrated circuits (, FPGAs, or CPLDs), often complemented with discrete parts, usually packaged on a small PCB to fit within the console system it is designed for. Although there are modchips that can be reprogrammed for different purposes, most modchips are designed to work within only one console system or even only one specific hardware version.
Modchips typically require some degree of technical skill to install since they must be connected to a console's circuitry, most commonly by soldering wires to select traces or chip legs on a system's circuit board. Some modchips allow for installation by directly soldering the modchip's contacts to the console's circuit ("quicksolder"), by the precise positioning of electrical contacts ("solderless"), or, in rare cases, by plugging them into a system's internal or external connector.
Memory cards or cartridges that offer functions similar to modchips work on a completely different concept, namely by exploiting flaws in the system's handling of media. Such devices are not referred to as modchips, even if they are frequently traded under this umbrella term.
The diversity of hardware modchips operate on and varying methods they use mean that while modchips are often used for the same goal, they may work in vastly different ways, even if they are intended for use on the same console. Some of the first modchips for the Wii, known as drive chips, modify the behaviour and communication of the optical drive to bypass security. On the Xbox 360, a common modchip took advantage of the fact short periods of instability in the CPU could be used to fairly reliably lead it to incorrectly compare security signatures. The precision required in this attack meant that the modchip had to make use of a CPLD. Other modchips, such as the XenoGC and clones for the GameCube, invoke a debug mode where security measures are reduced or absent (in which case, a stock Atmel AVR microcontroller was used). A more recent innovation are optical disk drive emulators or ODDE, which replace the optical disk drive and allow data to come from another source bypassing the need to circumvent any security. These often make use of FPGAs to enable them to accurately emulate timing and performance characteristics of the optical drives.
Modchips started to surface with the PlayStation system, due to the increasing availability and affordability of CD writers and the increasing sophistication of DRM protocols. At the time, a modchip's sole purpose was to allow the use of imported and copied game media.
Today, modchips are available for practically every current console system, often in a great number of variations. In addition to circumventing regional lockout and copy protection mechanisms, modern modchips may introduce more sophisticated modifications to the system, such as allowing the use of user-created software (homebrew), expanding the hardware capabilities of its host system, or even installing an alternative operating system to completely re-purpose the host system (e.g. for use as a home theater PC).
With the advent of online services to be used by video game consoles, some manufacturers have executed their possibilities within the service's license agreement to ban consoles equipped with modchips from using those services. Xbox LIVE Terms of Use , Section 14
In an effort to dissuade modchip creation, some console manufacturers included the option to run homebrew software or even an alternative operating system on their consoles, such as Linux for PlayStation 2. However, some of these features have been withdrawn at a later date.Microsoft XNALinux for PlayStation 2Linux for PlayStation 3 An argument can be made that a console system remains largely untouched by modchips as long as their manufacturers provide an official way of running unlicensed third-party software.
The ambiguity of applicable law, its nonuniform interpretation by the courts, and constant profound changes and amendments to copyright law do not allow for a definitive statement on the legality of modchips. A modchip's legality under a country's legislature may only be individually asserted in court.
Most of the very few cases that have been brought before a court ended with the conviction of the modchip merchant or the manufacturer under the respective country's anti-circumvention laws. A small number of cases in the United Kingdom and Australia were dismissed under the argument that a system's copy protection mechanism would not be able to prevent the actual infringement of copyright—the actual process of copying game media—and therefore cannot be considered an effective copy protection protected by anti-circumvention laws. In 2006, Australian copyright law has been amended to effectively close this legal loophole. Australian Copyright Amendment Act 2006
In a 2017 lawsuit against a retailer, a Canadian court ruled in favor of Nintendo under anti-circumvention provisions in Canadian copyright law, which prohibit any breaching of technical protection measures. The court ruled that even though the retailer claimed the products could be used for homebrew, thus asserting exemptions for maintaining interoperability, the court ruled that because Nintendo offers development kits for its platforms, interoperability could be achieved without breaching TPMs, and thus the defence is invalid.
In Japan, modchips were outlawed as part of new legislation in 2018 which made savegame editing and console modding illegal.
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