What You Need To Know About Phone Unlocking
Now that unlocking a new phone is under many circumstances illegal in the U.S. (!), Digital Trends has collected a useful set of answers outlining just what that means. As they put it, a "quick guide to answer all your why, how, and WTF questions." Among them, some explanation of the rule-making process, the reasoning that led to the end to the unlocking exception to the DMCA (including the Ninth Circuit's 2010 Vernor v. Autodesk decision), and illustrations of situations in which it is not illegal to unlock your phone.
FTA:
Why is it illegal to unlock a smartphone?
Because unlocking a phone requires making changes to its firmware – software that is copyrighted and owned by your carrier – which would be a violation of the Digital Millennium Copyright Act (DMCA).
I don't understand. If I buy a book, and make some edits (cross out some paragraphs, change some words) that's not illegal. Perhaps it would be if I distributed the book (or copies of it). Selling pens to make the edits isn't illegal either.
How is changing firmware different?
The locked subsidized phone model is not viable, at least not here in Denmark.
A year or so ago all the major carriers here agreed that they would stop the subsidizing and thus the locking of new phones. The value of the phone simply did not match how much the forced subscription (6 months) would yield and as many customers simply switched phone and carrier every 6 months, they consistently lost money.
So now you either pay the full price for the new phone or in installments on your phone bill. If you end your subscription after the first 6 months but before the phone was paid for, you had to pay the remainder in order to end the contract. Simple and avoids the creation of stupid laws to fix a broken business model.
"For every complex problem, there is a solution that is simple, neat, and wrong." -- H.L. Mencken (1880-1956) --