They've argued successfully that devices should not be able to be imported, not because of copyright or trade secrets, but because the devices may not abide by local requirements.
So no more buying a game system from Japan, for the reason that your local government doesn't trust that game system not to cause a nationwide blackout. No more buying a computer from Hong Kong, because of the same. No more buying a cell phone from Tokyo. Again, it might cause the entire power grid to shut down, or the cell phone towers to explode! That's their reasoning.
ruggels - 07:18 am
It s about maintainign Regional marketing control. THe thing that region coding did for DVD, they are tryng to enforce by law. Also the more China comesonto the market the more we will see heavier and more narrow restrictions to keep any sort of information and variety away from that communist country. So that Chinese local eidistributors can be the sople providers in china, along with the government.
wolfwings - 08:08 am - Yeah...
...unfortunately they're re-inforcing the locks on the largest countries after some of the smaller ones (like Australia) ruled region-coding on DVD's illegal so all DVD players had to have a way to circumvent it that're sold natively in Australia now IIRC.
Nintendo also (aside from a minor outburst claiming otherwise from Nintendo Europe that I feel is more the EU branch not wanting someone to believe Japanese or American Wii's will include all the video output ports common on European systems) figured out that gamers (their market) prefer non-region-coded games, and it also removes the only effective argument for modchips besides piracy.