Subsidy Password

From Wikipedia, the free encyclopedia

The term Subsidy Password is used by Motorola to refer to the 8-digit unlock code necessary to remove the operator lock (also known as subsidy lock) from Motorola cell phones. This code is randomly assigned to individual cell phones by the OEM (Motorola) on request of the mobile service operator, and prevents use of a particular phone on a cellular network other than that to which the phone was originally sold.

[edit] Justification for Use of Subsidy Password

The term "subsidy" refers to the subsidization of cell phones sold to customers that purchase mobile phones as part of a contract with the mobile service operator. Many network operators provide these subsidies as an incentive for users to sign extended contracts, and use the subsidy lock as a means of protecting their investment. The installation of such locks means that users often are forced to purchase a different phone if they decide to switch their network (of advantage to both the OEM manufacturer and cellular service provider).

[edit] Usage and Availability

Motorola maintains a central database of Subsidy Password and IMEI (Unique Manufacturer Identification) numbers. They make the Subsidy Passwords for a particular cellular network available to that network, so that a particular operator is able to release phones from their networks once the contractual obligations of the customer have been made. However, most network operators are reluctant to release these codes, since doing so is of no benefit to them. A few networks make these codes available, but often at high prices meant to deter customers. It would be beneficial if these codes were made available, for free, to legal owners of these phones. U.S. law provides protection for the consumer. Once the contract between the consumer and the mobile service operator has been fulfilled, whereas the consumer receives a discount for a cellular phone while signing up for a specified duration of service. Once the term of service has been completed, the consumer owns the cellular phone and all rights to it. It may constitute fraud if a cellular network provider does not willingly, and free of charge, provide any and all "codes" which "unlock" the cellular phones of all consumers who have fulfilled their service contract.

[edit] Unlocking Services and Software

As a result of the lack of open access to the Subsidy Password database, a number of online services have grown around providing alternative unlocking software. The methods used to unlock cell phones may vary, and most involve reading the lock code from the phone, some times resetting the lock code. Current U.S. law does not prohibit the act of cell phone unlocking. Network carriers some times unlock their customer's phones. The practice is not different from that when a user unlocks his own phone. While one could consider that the DMCA brings the legality of such applications under question, recent legal cases such as Lexmark Int'l v. Static Control Components have confirmed that the use of software to reprogram such phones is not illegal. This is particularly true since unlocking applications increase compatibility with alternative networks, promote positive competition and allow customers greater freedom to use the phones that they own.

The main article for this category is Subsidy Password.

Consumer electronics are products used in a domestic or personal context, as discrete from items used for business or industrial purposes. These can include televisions, VHS and DVD players, audio equipment, mobile telephones and pagers, and computers and related devices.