"...Next we have Linux users violating the EULA for the X-Box and tinkering with it so that it can run Linux...."
OK your a troll with a lobotomy but I'll respond.
This 'EULA' nonsense neatly illustrates dangers of software companies doing hardware. They apply, inappropriately, a legal paradigm appropriate to one type of property to another. The, simplified, reason for the existence EULA or other licences is to do with the necessity of giving someone the right to use software they have properly acquired without either breaching copyright or giving away legal ownership of the software. The latter would damage the company the other would make the software useless to the user. Hence the licence.
This legal reasoning does not apply to physical goods. If I buy a Ford Im not violating any of their legal rights by driving it, parking it or re-painting it pink. Those acts do not involve breaching any of Fords rights. Ford do not get to tell me I can drive their car in any city of the World except London or New York or that I must agree not to exceed 70MPH. Yes painting a Ford pink might interfere with their carefully designed branding and marketing, it might embarrass them and cause adverse publicity. These acts whilst potentially disadvantageous are not prohibited by any law. At law the act of selling something gives the entire right of physical control to another.
Similarly Micro$oft do not have the legal right to tell me that I cant use the Xbox as a doorstop or to bang
They want to prevent Xbox hacking because it does not accord with their inevitably abusive business strategy. Business strategies are not protected by law and so the 'EULA' give them no legal remedy. This doesnt of course permit anyone to breach the copyright in the software on the Xbox. Making derivative works, dissasembling reverse engineering the code or any other software/firmware, as opposed to hardware, acts may breach copyright law/DMCA or whatever. But hacking just the hardware of the Xbox is no-ones damned business but the owner.
This attempt to control not only how users use their software but also the hardware is typical of the anal control mentality of Micro$oft and big US corporation. I doubt if they are unaware of the poor legal basis for their actions but they are Micr$oft and since they bested the DOJ they think they are bulletproof. I havent read it but I suspect pivotal chunks of the supposed 'EULA' are unlawful.
I freely confess I do not know exactly what the Linux Xbox team are doing - there may be the possibilty of unlawfulness is what they are doing but certainly not if it only relates to hacking hardware.