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http://gamespot.com/gamespot/stories/
news/0,10870,2895274,00.html (remove space)
www.computerandvideogames.com
"Despite stories to the contrary earlier this week, Microsoft is not about to pull the Xbox from Australian stores. The fears were sparked following a report in an Australian newspaper that quoted Microsoft chief executive Steve "developers, developers, developers" Ballmer as saying that recent court rulings in the country made continuing sales of the machine economically dubious at best.
A Microsoft spokeswoman today reaffirmed the company's commitment to Ozbox (as we like to call it), and suggested that Ballmer's comments weren't specifically related to the console.
Following a July ruling by the Federal Court of Australia that released a man accused of selling mod chips for PS2s, the court declared that such devices were not in violation of the country's copyright rules.
Ballmer was then quoted in several of Australia's newspapers, suggesting that the Xbox could be withdrawn from sale unless changes to the law were made.
"Given the way the economic model works," he stated, "that is a subsidy followed, essentially, by fees for every piece of software sold - our licence framework has to do that. If there are aspects that are not allowed it would encourage us to require a change in the legal framework. Otherwise it wouldn't make economical sense."
The economic model basically runs like this. As with most console manufacturers, Microsoft makes its money through a licensing agreement with the software distributors in each region. If mod chips are allowed then not only could import games be played (on which no subsidy is paid to Microsoft), but so could illegally hacked games in which the only money goes to 'Big' Carl down the pub and his dodgy mates."
Well well..................
Sony also dislike the mod-chip market, and have successfully prevented some companies from manufacturing them using legal action.
However, it seems to me like an over-reaction from MS at a time when - let's be honest - Xbox needs all the sales it can get.
Besides - I thought the Xbox was 'tamper-proof'? Wasn't there some story around launch time about breaking the boards if you opened the machine?
If so, then it just proves that the pirates will not be denied. Watch out, Nintendo - your mini-DVD's will be next!
http://gamespot.com/gamespot/stories/
news/0,10870,2895274,00.html (remove space)