"A 22-year-old man has become the first person in the UK to be convicted for modifying a video games console.
The Cambridge graduate was sentenced at Caerphilly Magistrates Court in Wales to 140 hours of community service.
The man had been selling modified Xbox consoles which he fitted with a big hard drive containing 80 games.
"This case sets a major precedent which marks a milestone in the fight against piracy," said games industry spokesman Michael Rawlinson."
"The man was sentenced to 140 hours community service and ordered to pay £750 in costs. The court also seized his equipment - three PCs, two printers, three Xbox consoles and 38 hard drives."
"The man, who has not yet been named, was selling modified Xbox consoles, fitted with a 200GB hard drive and 80 pre-installed games, via his website for £380."
It seems the problem was not chipping but backing up the 80 games and selling premodded XBOXES with the games installed on the HDD; ON HIS OWN WEBSITE -- IMO his own fault for being stupid
http://news.bbc.co.uk/2/hi/technology/4650225.stm