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Here's a quick one though, and this is a fact:
The amount of money that 2nd hand games sales cost companies such as Microsoft, Sony, Nintendo etc. is far greater than the amount of money modding and all that goes with it costs the comapnies.
Anyway....
IOS37 will not stop you from playing from Backups - Only backups from different regions!! At the moment nothing has been released that utilises it and when it does it will only be a matter of time before some cracks it, and in truth most games now come out in most regions pretty close now - I know there are obvious exceptions (SSBB, Super Paper Mario) - therefore rendering region free ability an advantage but a necessity, like say in the SNES days when there was often a 6 month gap between NTSC/U and PAL releases, or games weren't released in some regions at all.
In fact if you're going to look at it as a loss earnings standpoint then they are both the same, although one is promoted actively on the high street, by large chains. In the UK 1 of those chains actually made it's money from the trade in / part ex scheme.
Nintendo, even though there have always been pirated versions of their games from the gameboy multi games cartridges, the SNES disc drives (under various names) to the latest mods have tended to be quite strict about it, whilst operating covertly, hence the disc drive for the gamecube running backwards and on small discs that when it was first released were expensive and difficult to obtain.
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Linear Mode
