Mobile Phones Locked By DMCA

wellington map writes "A mobile phone company is arguing that companies that unlock their handsets violate the DMCA. They argue that the software on the phone is a copyrighted work, and the unlocker is breaking DRM in a way that violates the statutory prohibition on circumvention. A similar claim by Lexmark, which tried to apply it to people who refilled printer cartridges, has recently been rejected by the courts." From the Wired article: "The financial motive behind this claim is obvious. Companies have been using the razor blade business model to guarantee a steady stream of revenue ever since, well, the razor blade. Cell phone companies sell you a phone at a discount, and then make up the difference by requiring you to sign a multi-year contract promising to pay monthly fees for mobile phone service or to fork over a hefty termination penalty if you break the deal. But many customers, particularly those who travel internationally, want more choice."