AppleInsider StaffWith several iPhone unlocking methods gaining traction over the past week, the Associated Press has done some investigating into the legalities of the matter and is reporting that unlocking the phone for one's personal use appears to be legal.
"Whether people can make profits from software that hacks the iPhone is going to depend very much on exactly what was done to develop that software and what does that software do," said Bart Showalter, head of the Intellectual Property practice group at law firm Baker Botts in Dallas.
Uniquephones.com, an outfit based in Northern Ireland, says nearly half a million people have expressed interest in its $25 iPhone unlocking solution. The firm had planned to release the software earlier this month but is now seeking legal advice after having received some 'friendly advice' from AT&T's attorneys.
Another firm, iphonesimfree.com, has said it plans to release its own iPhone unlocking software in a few days. Meanwhile, 17-year-old George Hotz managed to unlock his iPhone all by himself last week, using both software and hardware modifications. He then attempted to sell the unlocked phone on eBay but ended the auction after fake bids apparently sent the price to $100 million.
Instead, Hotz traded the unlocked phone for "a sweet Nissan 350Z" and three iPhones, according to his blog.
According to the AP, The Copyright Office of the Library of Congress last year issued a statement that unlocking cell phones for one's own use, for instance to place calls with a different carrier, was not a violation of copyright under the Digital Millennium Copyright Act.
However, the AP added in its report that a Florida-based company selling phones that use prepaid plans, won an injunction in February against a couple who bought its phones in large numbers and resold them unlocked.
Further details are available in the AP's thorough report on the matter.
Andrew Orr
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42 Comments
Go ahead, unlock them, then we'll get to hear reports from people whining because all the features don't work right. You know that's what'll happen. I'm certain they'll be unlocked eventually, it just makes more sense at this point to leave it with one carrier until they are certain everything will work correctly.
Don't get confused here. Prepaid phones are "subsidized" because you are locked-in to the provider at their rates when you purchase the phone and they make up the price difference as you use up and refill your minutes.
The iPhone is unsubsidized so you are paying full retail price. If you cancel you agreement with AT&T within 14 days, the phone is still yours to do with as you please. If you want to unlock it and use it on T-Mobile or overseas, that is your legal right and it does not conflict with AT&T's terms of service or anything else.
As I've stated before, Apple knew this would happen. Apple will have (a) "killer app(s)" that will keep 99% of iPhone users on their preferred networks as they will only work through the modified carrier networks. This is the only way to maintain the contracts with the carriers. Apple and the carriers desperately want the additional funds from the monthly dues. They certainly have a contingency plan i place that doesn't require expensive legal fees, that is for certain.
If you cancel you agreement with AT&T within 14 days, the phone is still yours to do with as you please. If you want to unlock it and use it on T-Mobile or overseas, that is your legal right and it does not conflict with AT&T's terms of service or anything else.
You are mistaken. You don't need to signup with ANY carrier to purchase an iPhone. Unles of ofcure, you were refering to people who recently purchased an iPhone and now want to get an unlocked phone. In that case, ignore my post.
Mr. Sulu, set phasers to 'unlock'... I hope the unlocking frenzy continues unabated. All this will do is keep the other cell providers wondering what the next move will be by Apple, and keep up the pressure to innovate and improve existing offerings.
As I've stated before, Apple knew this would happen. Apple will have (a) "killer app(s)" that will keep 99% of iPhone users on their preferred networks as they will only work through the modified carrier networks. This is the only way to maintain the contracts with the carriers. Apple and the carriers desperately want the additional funds from the monthly dues. They certainly have a contingency plan i place that doesn't require expensive legal fees, that is for certain.
So you're telling us that if Apple could sell 1 million more units because it's unlocked that they would rather not becuase they wouldn't get a monthy fee from ATT? Are you kidding?
you're right about one thing the carrier desperately wants the monthly fee.