Yes, it is now illegal for users to unlock mobile phones to use on another network and most of us are not too happy about it. The good thing is the change in legal status, a direct result of the Library Of Congress ruling we told you about in October, will probably not affect too many of us. The Digital Millennium Copyright Act (DMCA) still protects our right to unlock the bootloader but it stripped away our ability to lawfully unlock a cell phone purchased from a carrier even after we’ve fulfilled our contractual obligation.
For example, a phone purchased from AT&T cannot legally be unlocked by the user (or third party) to be used on T-Mobile. The carrier, on the other hand, faces no new restrictions and in many cases will unlock devices of customers in good standing. Phones on Verizon & Sprint are unaffected since they are CDMA networks with handsets that aren’t really locked the same way GSM phones are locked. Purchase an unlocked phone, like the Nexus 4, and this becomes a non-issue.