This proposed exception creates concern within the software game industry. They claim that, with this exception, no criminal action may be brought against circumvention devices designed for video game consoles of any brands available in the market.

It is the general practice of the software game industry to employ the same TPM to prevent the console from recognizing and playing pirated videogame discs or discs not designed for the Hong Kong market. If a person wants to benefit from the liberalization of parallel imported computer programs, which include video games discs, he has to modify his consoles by installing a "mod chip." Nevertheless, once the console is modified, the device circumvents not only the regional coding, but also the copyright protection measures for prohibiting the play of counterfeit games.

Obviously, the proposed exception fails to address the situation where the region coding is integrated with other protection measures in the same TPM system. It will legitimize the modification of game consoles and also exclude criminal liability on those who deal in modified consoles.

The underlying question

Is the play of parallel imported games the real objective of modifying a game console?