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Datel sues Microsoft over memory device lockout

Posted Nov 24, 2009 at 4:00AM EST by Glenn M.

Listed in: Xbox 360 Tags: Datel, Microsoft, xbox 360 titles

A lot of folks went batshit not too long ago when Microsoft decided to lock all third party and "unauthorized" memory devices from the Xbox 360. Datel happens to be among them, having their Max Memory cards kicked aside. Oh they weren't too happy, they've already said so in a previous statement, and judging by this lawsuit they're slapping against Microsoft, they really meant it and they're gonna do something about it.

Datel founder Mike Connors talks about the lockout:

For many years, Datel has brought to the public products that offer more capacity, extra functionality or other game enhancing features with the aim of offering a reasonably priced alternative to first-party accessories.

The Max Memory card plugs into the Xbox 360 and allows a user to store games, characters, and similar information. It permits a player to transport game information between Xbox systems. The Microsoft memory card does exactly the same thingÂ—with the difference that it offers only one-quarter the memory while listing for the same retail price. Datel engineered the Max Memory card to be 100% compatible and over 50,000 Max Memory cards have been sold without a single report of harm to the Xbox console.

Howard Rice director Marty Glick, the senior attorney representing Datel, calls foul on the lockout. Â“Microsoft has taken steps to render inoperable the competing Datel memory card for no visible purpose other than to have that market entirely to themselves," he said. "We believe that with the power Microsoft enjoys in the market for Xbox accessories this conduct is unlawful.Â”

You can help yourselves to the legal hubbub via the Howard Rice blog found at the source below.

Datel on the device lockout:

Via Howard Rice

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This really has no legal leg to stand on. Its unauthorized, and there is a legal means to get it authorized. Someone tried the same with Sony and it didn't fly.

If it was all third party devices, and not just memory (Which, again, has uses for other things like helping to stop piracy.) they'd have a much stronger legal standing.

# No legal standing? — ZanLong 2009-11-24 07:27

MS is locking out a competing product. The memory cards are the same, only Datels have a higher capacity for the same price. This is MS trying to kill 3rd party market, so that every one is forced to over pay of a lesser sized card. Same thing with the hard drives. I can get a Seagate 500GB laptop drive that will work with the PS3 for $119 at Best Buy. Where as a 60GB 360 drive is $99 and a 120GB is still $149. Same type of drives but MS only gives you two types of drive. Where Sony is more up.

I think Datel does have a right to open the market.

# LOL! — Bountyhunter53 2009-11-24 08:11

There seriously trying to turn Microsoft's decision around? Good luck with that....

And Datel....WTF are you lot doing. Stealing things from the homebrew and hacking community and branding it as yours. Reverse engineering something as a exploit and using the same code in your device is still stealing someone's work.

And Datel after many OS's were released after Windows there's a reason why MS and Windows has a monopoly.

# Microsoft — symbal 2009-11-24 08:41

Is just blindly blocking accounts, harddrives and accessories and they already had plenty trouble for their monopoly and breaking competition laws, i reckon they gone too far again and the courts will agree.

# ... — symbal 2009-11-24 10:24

Neither, but Microsoft does have a monopoly and need to be carefully watched.

# ... — FelisCatusLover 2009-11-24 10:52

I'd like to take the time to thank Datel for being one of the few to stand up to Hitlersoft. Thank you. I'll pray for your winning.

# i hope datel win too — sonofken 2009-11-24 11:00

f@ck microsoft, i just forked out £22 for a 64mb one of these mu's, when i have tons of perfectly working usb sticks. i hope that the court favours datel, if they can make these units bigger for cheaper i dont see why microsoft should have a monopoly on the market.

# ... — symbal 2009-11-24 11:17

See i think the reason Datel will win is because there's so many companies built around the third party peripheral market, and if Microsoft wins it's like a green light for others to do same and that puts a lot of people out of a job and hands Microsoft a total monopoly.

# . — bradz7 2009-11-24 13:37

damn straight! i dont have a datel mem but i still think its crap for m$ to have full market share. look at their ridiculous prices... it is no good for consumers or third party business.

# Ha! Take that! — DJ PON-3 2009-11-24 15:07

I hope they freaking win! M$ are ***holes for even blocking 3rd party support.

# @Yamagushi — Navani 2009-11-24 15:24

And they can ban you for that. And also modding your system and connecting to Live.

Sure, cheating in video games is wrong, but what weighs more - cheating in a virtual world or a company locking out all competition?

# Yama — Master Chef 2009-11-24 15:31

You can do that with a MS mem card. All you need is the datel transfer device, they're on ebay for about $10

# Forgot to add — Master Chef 2009-11-24 15:36

That I'm glad Datel is doing this, like I said you can hack with a MS mem card and if you do MS has the right to suspend your account and/or ban your Xbox. They do not have the right to block competition

# Wow — ChaosZero112 2009-11-24 16:11

I can't believe you people.

Microsoft made they Xbox. They have every single right to block third-party products. It's their System.

If you don't like that, don't buy it. This case will be tossed out in court.

# ... — symbal 2009-11-24 16:48

And Microsoft also owns Windows but they were forced to remove features and sell off parts of the business so not to have so much of a monopoly, the law isn't as simple as just they own it so they can do what they want, competition laws are there to stop 1 company owning everything.

# True — ChaosZero112 2009-11-24 17:40

But Windows's only competitor is Mac.

Xbox competes against Wii and PS3. It's much harder to form a monopoly against 2 rivaling companies. And the Datel memory cards are not authorized. Meaning they haven't paid Microsoft for any rights to use the code in place to access memory cards on the 360.

Unauthorized is the problem here.

# yes but — vizard00 2009-11-25 01:19

im agreed with you , but since Xbox360 is made for public , M$ must respect public , so banning memory and leting 3d party whelles works seems strategic ,

a cafe owner can not takeout some people and let authers while they are the same , its just not moral and racist .

you get it .

# Datel just wants money — craigorio616 2009-11-25 02:24

"We reserve the right to refuse service."

You'll find that sign in most places. People who don't follow the rules get kicked out. You try wearing a T-shirt into a fancy restaurant.

I think discouraging cheating on the Xbox is a good idea. Sure, it doesn't "matter," but I guess I just have the mindset that should only get things they've earned. I think the Achievement system is excellent. If people really didn't care, why would they hack gamesaves to get them? And multiplayer can be a lot of fun, but once people start showing up without paying for the game or becoming invincible, it ruins it for everyone.

I have a memory card and HDD, and while I wish I could hook up an external or at least get a cheaper upgrade, I don't really want to go 3rd party. Plus, 1st party stuff is quality. I've been gaming since Atari/Commodore, and 360 controllers are the best I've ever used. And I only use my memory card for moving profiles around and sometimes arcade games on another Xbox. I let my little brother put all his saves on it, and it's still nowhere near full.

# 3rd Party lock out — Zan Long 2009-11-25 06:37

My point is not with hacking, I could care less about that. What I do care about is MS cutting out 3rd party accessories. As I have siad befor I realy do not care of MS priceing points on most of there stuff. Hard Drives: $100 for a 60GB. $149 for a 120GB. I can get a 500GB Seagate laptop drive for $119 that will work with the PS3. You do not have that option with the 360. Memory Cards: I can save game saves with a USB flash drive on a PS3. I have seen 8GB ones for $25. You only can get a 512mb card from MS for $30. Wifi: Wifi is built in to the PS3. You need to get a WiFi adapter of MS that will cost you $80 to $100. I have seen ones online for $25, and all you need is a USB port(Which the 360 has). MS over charges for all its accessories, and this by all of you is ok? And do not give me this protect from hacker line. It has been pointed out here and on other boards that anyone can hack the 360 with MSs own memory card. So what does that leave us?, MS is forceing gamers to buy only MS made, and overpriced accessories.

# Zan Long — chrisfand 2009-11-27 14:27

I totally agree with you ***** those MS greedy bastards that only care about themeselves and dont give a flying ***** for prices. Other business that rely on xbox 360s are gonna get *****ed and its all because of these greedy *****ers.

*****ing *****s.

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Datel sues Microsoft over memory device lockout

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