I guess Nintendo should count themselves lucky that they got as far as they did into this
generation without piracy being much of a problem. The benefit of a
custom disk format has paid off for them quite well. Sega learnt the hard way that having a custom format means nothing
if the system can still read regular media.
The device is aimed at the homebrew scene, but of course it will only be a matter of time before some miscreant
changes that. The chip uses flash memory, and conceivably can be used to run a custom boot loader to run pirated games.
I'm sure Nintendo are thrilled… I fully expect Nintendo to dispatch a team of ninjas (or possibly lawyers) to prevent
this "evil device made for piracy" from ever reaching anyone. Fair use rights be damned.
Link goes to an Xbox site of all places, because sometimes the universe is weird like that.
Engadget
TUAW