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Australia halts PS3 mod chip sales

UPDATE: Judge unable to attend today's hearing date; temporary ban postponed to Friday, September 3.

Australia’s federal court has slapped a temporary ban on a handful of local retailers selling or importing hardware, commonly known as “mod chips” that allows unauthorised software to run on Sony’s PlayStation 3.

First reported by the BBC, the ban applies until August 31 while court action initiated by Sony Computer Entertainment’s Australian and European arms against three local retailers goes ahead, although the ban will be lifted if the gaming giant’s lawsuit is not successful.

According to court documents filed late last week, the four Australian retailers banned from selling the device are OzModChips and an individual who appears to be involved with the business--Ryan Caruana, Global Solutions International (trading as Quantronics), and Ken Tolcher (trading as Mod Supplier).

Furthermore, the court has required that the four parties actually hand over to Sony any PlayStation mod-chip devices they have, until the August 31 date.

OzModChips has responded to the lawsuit in a message posted on its site. “This is not OzModChips versus Sony,” the company wrote. “This is not OzModChips, Quantronics, Modsupplier versus Sony. We would go as far as saying that it is not even everyone in Australia versus Sony.”

“This will affect everyone that plans to buy such a device worldwide. It already sets a dangerous precedent. Everyone that was using OtherOS, everyone that has had a faulty PS3 laser … and those interested in PS3 custom firmware and homebrew applications.

“We cannot do it alone; we need the support of everyone in the homebrew community, the media, engineers that understand the inner workings and anyone else that can provide support.”

OzModChips also linked to a forum posting, which the company said was by Quantronics, responding to the temporary injunction slapped on the three retailers.

Quantronics wrote that the injunction was “baseless,” and it was very unlikely that it would be continued or become permanent. “OzModChips, Modsupplier and myself are all close friends, share lawyers and have sought senior counsel for this matter,” wrote Quantronics.

The retailer added that the trio started in the gaming industry as kids with an ideal of changing Australia’s views on copyright law, fair use and “freedom.” “To this day, we stand for the same beliefs, values and will at any cost fight for what we believe in, the rights we should have, and in a David versus Goliath battle, we will give it our best,” they said.

Comment is being sought from Sony Computer Entertainment.

UPDATE: According to Kotaku Australia, the hearing due to take place today in Australia's Federal Court has been postponed until Friday, September 3. This also applies to the temporary ban on the sale of mod chips. Justice Kenny, who was scheduled to preside over the case, was unable to attend today, causing the delay.

250 Comments

  • BDL91

    Posted Sep 9, 2010 4:37 am GMT

    @colonel-snake
    Get a life mate. Sony said the PS3 was unhackable before it was realeased stop being a baby because you a hard core nerd that gets all his games brand new from mummy and daddy. and what would i know?? well id know enough to hack a ps3. you need to get a hobby thats not getting on forums and whinging like a woman

  • mjc0961

    Posted Sep 2, 2010 7:18 am GMT

    Oh sure, try to use the blanket of homebrew as an excuse, but we all know you're really just looking to steal games.

  • Jebril

    Posted Sep 2, 2010 1:51 am GMT

    'Gelugon_baat
    Posted Sep 2, 2010 3:50 am GMT

    When a customer purchases a PS3, there is a user agreement that he/she has to agree to before a purchase. The fine-print would state that what the customer is purchasing is practically a machine, with the same product status as a toaster, ceiling fan and vacuum cleaner; the customer does not purchase the design of the machine, but rather rents it as long as the machine stays in his/her possession.

    Said customer also purchases the services - if any is provided within the region that said customer lives in - of the game system's proprietor as stipulated in the agreement. No more, no less.'

    Wait what? You don't sign a contract when purchasing this console...you sign a contract when you update on PSN, they are going after people who haven't necessarily signed the EULA which BTW is illegal anyway so it wouldn't matter. If I write in a contract that I can kill you when you drive my car I still can't legally kill you when you drive my car. Just cuz a company says they can do something doesn't mean they actually can. You are not leasing the console, the transaction occurring with Sony and you is a PURCHASE, which gives you full entitlement to the console and all of it's hardware/and advertised features.

  • Gelugon_baat

    Posted Sep 1, 2010 7:50 pm GMT

    As for Sony, it has to do more than just state that the mods lead to piracy; that it has to support with concrete analysis that it can lead to damage (e.g. loss of income) unto Sony, e.g. surveys and such (which I doubt it will be able to collect from people who had modded their PS3's). Sony will also have to show that the mods actually impair the PS3, i.e. make it perform worse than the original design. If the mods show otherwise, Sony's going to have a very hard time trying to ban the sales of mod parts.

  • Gelugon_baat

    Posted Sep 1, 2010 7:50 pm GMT

    When a customer purchases a PS3, there is a user agreement that he/she has to agree to before a purchase. The fine-print would state that what the customer is purchasing is practically a machine, with the same product status as a toaster, ceiling fan and vacuum cleaner; the customer does not purchase the design of the machine, but rather rents it as long as the machine stays in his/her possession.

    Said customer also purchases the services - if any is provided within the region that said customer lives in - of the game system's proprietor as stipulated in the agreement. No more, no less.

    Attempting to alter the machine so as to change its original design and/or any additional design as sanctioned by the proprietor is of course a contractual violation of said agreement, and of course loss of any support from the proprietor. To the proprietor, said person is no longer a valid customer.

    That all said, OzModChips and its supporters had better not use the allegation that they are still customers of Sony as defense. They would look mighty idiotic.

  • PacoL250

    Posted Sep 1, 2010 7:11 am GMT

    @gamerfps: And while EULA's aren't great legal documents, there have been other precedents and rulings made in regards to electronic piracy. So you can't rely on "flimsy EULAs" as the crux of your argument.

    Don't get me wrong, I agree with your underlying point of "what's mine is mine once I paid for it," but your argument is flawed.

    And NOW I'm done.

  • PacoL250

    Posted Sep 1, 2010 7:09 am GMT

    @gamerfps: This has nothing to do with lighters and crack-pipes, are you that foolish? Look at the context first before making a point.

    Yes, typically once you own something, you can do what you'd like to it. However, in electronic media, etc., things are a bit more different. You apparently never worked in the electronics (e.g. software, electronics, etc.) industry have you? If you can't even bother yourself you even lightly skim 50 pages of leagalese (which basically tells you that you can't take actions that allow for electronic piracy), then nobody can help you understand that this IS NOT a cut and dry point.

    Go tell the game developers that the EULA doesn't matter to you and see how they react when their livelihood is threatened. It's more complicated than that, but that's the crux of the argument.

    I done here.

  • Astaritobril

    Posted Sep 1, 2010 7:02 am GMT

    @gamerfps - Ford and Dell have long since lost the right to claim money on after market (in their current business models). In all the years companies like this have been in business they have never gone to court to fight for money based on post-sale consumer add-ons or modifications. There is no precedent for them to start now.

    The gaming industry however has always been in court trying to defend their products. They don't always win. I think Nintendo Vs the Game Genie is a good example there. The point is that the precedent is already set. Sony might lose, I doubt it though based on Nintendo's success with the R4 cart which was also design "only for playing back up copies". Even if this company has disabled certain features of their product to prevent it from being used for piracy, what's to stop someone from turning it on? This is probably part of what they are fighting for. Also, I'm sure, the right to retain full control over their system.

    No matter what our opinions are, Sony must fight this or forever lose control over there system. Which would lead back to my previous comment. A loss in licensing and the ultimate loss being failure of the platform as a whole.

    My advice to you would be to not buy a PS3 and if you own one, sell it now. You will probably live longer without this stress in your life. Looks like you have enough going on with every other product you buy.

  • moh_sakhaii

    Posted Aug 31, 2010 10:05 pm GMT

    This I quote "This software is not intended to enable piracy, and such features have been disabled. This software is intended to allow the execution of unsigned third-party apps and games on the PS3."
    and below is the link to the site:
    http://github.com/psgroove/psgroove

  • moh_sakhaii

    Posted Aug 31, 2010 10:01 pm GMT

    OK, Sony is done for. The source code for ps jailbreak is now on the web.

  • Trainz2006_fan

    Posted Aug 31, 2010 4:26 pm GMT

    I was thinking if this was Microsoft or Nintendo everyone would be like meh but because its Sony its different. Some people say how dare they not let us hack into their system and play pirated games and do other crap! What makes me laugh the most is how a big company like Sony who have loads of money vs a bunch of nerds with no money except the money they made from pirating! So we can only guess who wins.=D

  • runstalker

    Posted Aug 31, 2010 2:47 pm GMT

    Go ahead and crack your systems to play illegal back-ups and homebrew. Just kiss your official firmware updates goodbye. Such is the fate of modding one's console. Sony puts some fairly important global updates in the pipeline, like the 3D update. The process has to remain very structured for the average user.

    Sony can't afford to allow users to mix and match custom firmwares, regardless of the shadow of illegal back-ups and downloads. It also bleeds into the sensitive patented realm of reverse engineering. They need to protect certain elements of 'use of hardware' just as an effective business practice, so naturally they'll move to fight this. For better or worse.

  • RoOodriGowW

    Posted Aug 31, 2010 2:45 pm GMT

    @Halcalix

    Haha I know , I didn't even use it I was just trying to be logical , since the problem isn't the former feature install other OS why doesn't bring it back.But personally I couldn't care less , I only game on my ps3.

  • grundggr

    Posted Aug 31, 2010 1:58 pm GMT

    so what...

  • chronolzx

    Posted Aug 31, 2010 1:32 pm GMT

    i don't condone piracy, but whats worst than piracy is DRM. its a sort of piracy against paying customers. That said, all the corporations combined can't stop it.

  • Kage52124

    Posted Aug 31, 2010 11:38 am GMT

    Why isn't this front page and not just 'other news'?

  • chamma18

    Posted Aug 31, 2010 10:35 am GMT

    I am against technology that harms the copyright of the games. Studios spend millions to develop a game and I believe they should receive for the work they do as well as others who work. As in the Playstation 2 and other consoles, many criminals take advantage of this to sell and finance various types of crime. That Sony can ban this chip.

  • kiraburu

    Posted Aug 31, 2010 10:18 am GMT

    The attitude of @Colonel_Snake is the typical of an arrogant foxnews-wanker, telling someone else to get a life but i wonder if he has one (well not really, i dont give a ****). You should name yourself just liquid-snake to not insult that great character. By the way GO "PIRATES", BRING POWER TO THE MASSES AND AVENGE THE OPPRESSED. VIDEOGAMES ARE NOT LUXURIES, THEY ARE JUST VIDEOGAMES.

  • Colonel-Snake

    Posted Aug 31, 2010 10:04 am GMT

    @LSUTIGERMAN

    Ehh idk dude i'm tired of this debate lol. And yea I'm aware that the violence of today world is extremely ridiculous. These days basically anything can be a weapon from a pen to a pencil. Well almost anything lol.

  • LSUTIGERMAN

    Posted Aug 31, 2010 8:45 am GMT

    @Colonel-Snake

    Even though a kitchen knife's primary usage is to slice it was developed after war knives so it's always had an inclination to perform death. But I digress, this was in 2008 but it's still relevant to the conversation. If you don't follow the link this is essentially what it says "100 stabbings reported in London but in total, police dealt with 1,664 violent 'knife-enabled' crimes - which range from murders to muggings where blades were brandished to threaten victims." Keep in mind that this is just in FOUR MONTHS! I knew knife crimes were bad but I didn't think they were that inflated.
    http://www.thisislondon.co.uk/standard/article-23484511-revealed-100-stabbings-in-london-this-year.do

  • jer_1

    Posted Aug 31, 2010 8:45 am GMT

    Hope these guys get this dropped soon...

  • UnknowGamer

    Posted Aug 31, 2010 5:52 am GMT

    I tought that there weren' t any working mod chips for the PS3

  • gamerfps

    Posted Aug 31, 2010 3:27 am GMT

    @colonel-snake

    You also conveniently ignored another point I've made: EULA's (the so-called "rules and regulations" you bring up) don't hold-up in court, as they're not legally-binding documents.

    If Sony hired somebody to bust down my door and drag me to court over breaking their EULA, here's what a judge would say:

    "Okay, where's his signature on this contract? Oh, it's not a physical document ... so there's no signature required. What's that? You say that pressing the "X" button is the equivalent of signing your name? Well how do we know that that this guy pressed the button and not somebody else? Do you have surveillance cameras in the guys house?"

    And the case would get promptly thrown out. See this link for more info on how flimsy EULA's are legally:

    http://www. wired. com/gadgetlab/2009/02/how-to-get-your/

  • gamerfps

    Posted Aug 31, 2010 3:13 am GMT

    A lot of people say the definition of insanity is doing the same thing repeatedly, but expecting a different outcome. I ask anybody out there, considering the game industry's long-history of battles between corporations and hackers (CD-Keys, Starforce, Securom and "always connected" games), who's won every single one of them?

    Now, who are the insane ones, here? Would you rather Sony funnel money into a war that's essentially Vietnam In Cyberspace, or would you rather them man-up and accept the fact that they can't win this war and just focus on doing what they do best: and that's making amazing games.

  • gamerfps

    Posted Aug 31, 2010 3:13 am GMT

    @colonel-snake

    Why yes, according to the DMCA exemptions added this year, it is perfectly legal for me to make a back-up copy of a game for myself as long as it falls under fair-use. Like I said, you may actually wanna read up on some stuff before you go spouting off at the mouth about it.

    And good, I'm glad you're leaving the conversation, we didn't need your broken, Nanny State rhetoric, anyway. Other people I've talked to have been more than willing to listen and (once I've explained the legality, technical nature and other things Sony can do to combat this) agree with my completely rational points. Your view is one of "if it CAN lead to something bad, then whatever it is in-and-of-itself is morally wrong," which is a view completely that's completely broken on a fundamental level. It's like people who use the line "if you've done nothing wrong, then you've got nothing to hide," that's a complete logical fallacy. Somebody could be doing something that is completely within the realms of legality, but is against the social norm and are afraid knee-jerk reactionaries like yourself will demonize them for it (like you so-predictably seem to be doing to the entire Homebrew community).

  • Colonel-Snake

    Posted Aug 31, 2010 3:06 am GMT

    @Moh_sakhaii

    When did I say it wasn't illegal to own a mod-chip ? Never did please read all my post before you post some crap. Second all because mod-chips are not illegal doesn't mean it can't be used for something negative. Did you not read the guidelines you had to follow when you agreed when you purchased the ps3 lol ? I'm laughing because you guys don't wanna follow rules but expect sony to care about you're consumer rights ? You and gamer are both delusional. If mod-chips could be used for homebrewing without the ability to pirate and steal I would be on you're side. Unfortunately thats not the case though since they are mainly use to pirate while knives primary use is to chop food not kill people.

  • moh_sakhaii

    Posted Aug 31, 2010 3:00 am GMT

    just because you didn't scratch your discs, does not mean they're scratch proof. This I quote from you "You can use that knife as you pleased but there are restrictions of how to use that knife and where to carry it also".
    That's exactly how it works but it's in no way illegal to have one like this mod-chip.
    And it's moh_sakhaii you ***.

  • Colonel-Snake

    Posted Aug 31, 2010 2:54 am GMT

    @Mod_sakhaii

    Did I not explain when you bought the system and you choose to play online which I'm sure you do did you not understand the rules and regulations you agreed to follow ? I have said this countless times and I will repeat it again. I am not against modding but when you do something to break the law or disturb other people who have no intentions of modding or pirating their games then its a problem. Idk why that fool gamer expect me to care when he doesn't care. I'm honestly tired of repeating myself countless times about the same thing. I already understood his post FROM THE BEGINNING and he has yet to get that through his brain. You can use that knife as you pleased but there are restrictions of how to use that knife and where to carry it also.

  • moh_sakhaii

    Posted Aug 31, 2010 2:52 am GMT

    why the insults kid??

  • moh_sakhaii

    Posted Aug 31, 2010 2:49 am GMT

    @ Colonel-Snake
    read my last post.

  • moh_sakhaii

    Posted Aug 31, 2010 2:46 am GMT

    @gamerfps
    This colonel guy is obviously just a kid that has no experience with the homebrew. This device enables unsigned code to run on your PS3. Why should we just run Sony applications on a hardware I own. Even if somebody use this for piracy, you can not go ahead and ban the whole thing. If you scratch your disc that would be trouble because of Sony's greed that you can not have a backup. A government won't ban knives because it can be used for killing people. You can use it just to cut cheese with it.

  • Colonel-Snake

    Posted Aug 31, 2010 2:40 am GMT

    @Gamerfps

    Idc what you did and where you came from. Did Sony ever give you permission to copy those back ups ? NO they did not give you any permission to do so. Thats why there are copy righted laws moron. Do you have any idea of what you just posted ? Thats why the copy righted laws are there. Embarrass myself of please all because I'm 19 doesn't mean I don't understand the world and how it works. There you go again labeling somebody. Please do a self evaluation of yourself because the only one misguided is you. Gaming is a luxury its not a right. That video shows people ripping data from the disc and playing games without the disc being in the console. Tell me is that legal ? I'm not even talking about Modchips anymore fool stop bringing it up. The only one acting like a kid is you thats why you're so bent on being right you thumbs yourself up and thumbs me down because you're mad. Without those companies you wouldn't be having any games now would we ? Please shut up and appreciate you're blessings and that you are able to afford and play games. For all I know you could be pirating now. I'm done talking to a senseless hacker. Since you are so good labeling me I will label you as a thief and a supporter of people breaking the law. Don't bother responding because I'm done wasting energy reading you're nonstop ignorant statements regarding this issue. Seriously and half of you get a life all you guys do is look through my comments throwing disagree. Pathetic and sad individuals.

  • gamerfps

    Posted Aug 31, 2010 2:22 am GMT

    @colonel-snake

    Kid, I'm not going to shut-up for some 19 year old. I didn't do two years in Iraq to come back home and have corporations tell me what I can and can't do with the products that I've bought. This is an argument that you and all the other corporate-cronies aren't going to win, so I suggest you just stop before people can see how completely mis-guided you are.

    And can you point me in the direction of any YouTube video that shows you how to run pirated back-ups on the PS3?! No, you can't! Period! All the videos you speak of are showing how to run LEGITIMATE BACK-UPS that YOU OWN. I don't think I'm above the law, unlike you I KNOW THE LAW. And in the US, modchips and other devices like that fall under fair-use and are COMPLETELY LEGAL.

    So, like I said, see your way out of this topic before you embarrass yourself even more.

  • gamerfps

    Posted Aug 31, 2010 1:38 am GMT

    @colonel-snake

    That's because THE DEVICE IS BRAND NEW. I'm obviously talking to a 14 year-old here who doesn't understand how the world works. The Backup Manager is a proof-of-concept piece of software showing that it's possible to run un-signed applications on the PS3. You haven't seen anything else because this is the ONLY APPLICATION OUT RIGHT NOW FOR THE PSJAILBREAK DEVICE. There will be more to come from the homebrew community once the thing is released to the public.

    And once again you fail to get through your thick skull that NOBODY IS CONDONING PIRACY! NOT EVEN THE MAKERS OF THE MOD-CHIP! I also like how you conveniently ignore the point I made about HOW THERE ARE BETTER WAYS FOR SONY TO HANDLE THIS OTHER THAN PISSING OFF HACKERS EVEN MORE. If you've been around the bend once you'd know that FIGHTING HACKERS IS A BATTLE YOU CANNOT WIN. There are always more of them than there are people trying to stop them.

    Your rhetoric also assumes that corporations have the same rights as common citizens. They don't. And I don't give a damn what some Ayn Rand-reading Teabagger says, a multi-national corporation with lobbyists in every government around the world shouldn't have the same freedoms that normal people do. Sure, they work hard, but in the end, it's COMMON PEOPLE keeping them afloat and their profit isn't worth taking away my rights.

  • Colonel-Snake

    Posted Aug 31, 2010 1:17 am GMT

    @Gamerfps

    Control dude ? DUDE look at what it has done. There is absolutely NO VIDEOS SHOWING HOW TO HOME BREW NEW FEATURES! All there is showing how to steal honestly you need to get you're head checked out. Stealing is wrong all this crap do is cause more harm then good. The consumer right has to have a limit. This world is not a world where we can do whatever the hell we want and if you think that you need to do a self evaluation mate. Like I said before if you don't care then Sony shouldn't give a damn about you either. So don't sit here and break rules and regulation and then wanna bring nonsense like you're consumer right in here. I really hate when people have the double standards. Gaming is a LUXURY IT IS NOT A RIGHT. There is nothing on the web but people stealing from developers they have rights also. Remember that before you try to class yourself higher then them. They WORK HARD TO MAKE GAMES FOR YOU TO ENJOY. And you wanna sit here and condone not caring how piracy affects them because of a few features ? LMAO nonsense

  • gamerfps

    Posted Aug 31, 2010 1:11 am GMT

    @colonel-snake No, you're still completely failing to see my point. This ISN'T about piracy AT ALL. It is about CONTROL. This sets a precedent for all corporations around the world to dictate to us what WE are able to do with the things that we spend OUR money on. That is not the world I live in and that's not what I want this world to become. What would you rather have? No piracy on the PS3 or your rights as a consumer to do what you damn well please with whatever physical things you pay for and own. The car analogy is PERFECT for this and I don't see how it "fails."

    This is the point you're completely failing to see: If Sony can get away with this; that sets a precedent that corporations can impose restrictions on ANY product post-sale. And quite frankly, I and many others could care less if piracy hurts Sony's bottom line, as long as we have our basic rights as consumers intact. Especially when there are better ways for Sony to control the piracy issue other than "scorched-earth" legislation, which brings me to this:

    @stick-rox

    It's already been confirmed by a multitude of sources that the Backup Manager produces a unique game-ID that Sony could track. This means that anybody who has the Backup Manager on their system could be flagged and prevented from accessing PSN. This is essentially the same thing Microsoft does for JTag 360s.

  • acer_062 posted Aug 31, 2010 12:37 am GMT (does not meet display criteria. sign in to show)

    acer_062

    Posted Aug 31, 2010 12:37 am GMT (hide)

    Sounds great!!!, where do I buy one?

  • Colonel-Snake

    Posted Aug 31, 2010 12:17 am GMT

    @Sablicious

    You're post makes no sense. In my opinion Sony has been pushing the best exclusives this generation. Overpriced ? LOL. The wii was 300 dollars before and I didn't see anybody complaining about the Price. The PS3 drops to 300 and its "overpriced". Seriously stop the trolling. Sony is handling this situation and is still pumping out AAA games. Stop you're ignorance it truly has blinded you very badly indeed.

  • StickRox

    Posted Aug 31, 2010 12:11 am GMT

    I'm taking a very mixed stance on this argument, firstly because while mod chips CAN be used for good things and getting the most out of the system, it seem that for every 10 or so people using it for productive purposes there is a plethora more using it to hack.
    Seeing as i don't have any intention of purchasing a mod chip anytime soon, i am more inclined to lean towards sony on this one. Also gamerfps i agree with 99% of what you have said,there was one thing however i would like some clarification on, awhile ago you stated that sony should fine another way to stop piracy, or something along those lines, all i want to know is what you think they should do.

  • Sablicious posted Aug 31, 2010 12:08 am GMT (does not meet display criteria. sign in to show)

    Sablicious

    Posted Aug 31, 2010 12:08 am GMT (hide)

    Dirty, disgusting, greedy Sorny. If they paid more attention to what gamers wanted - good games, decent on-line functionality, versatility to their overpriced doorstop Ps3 - and less about this kind of thing, people wouldn't care about piratng their games because they'd be worth their selling price.

    As it stands, I hope the system is cracked open like a virgin on prom night by the Jaibreak and Sorny pay the price for their greed and apathy.

  • supdotcom

    Posted Aug 31, 2010 12:01 am GMT

    tbh i didn't really miss the other os thing. all you people just use the removal of the other os option as a reason. please just let ps3 be what it is, I want a purely non-pirated gaming community. that's why I bought one.

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