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DirecTV’s Black Sunday: The Update That Killed Pirate TV Cards — Transcript

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  1. 0:00On the evening of Sunday, January 21st,
  2. 0:022001, millions of people across North
  3. 0:05America were sitting in their living
  4. 0:07rooms watching television. The NFL
  5. 0:09playoffs had just wrapped up for the
  6. 0:11day, and [music] the biggest broadcast
  7. 0:12event of the year, Super Bowl 35 between
  8. 0:15the Baltimore Ravens and the New York
  9. 0:17Giants, was exactly 7 days away. For
  10. 0:20most people watching TV that night,
  11. 0:22nothing unusual happened. The
  12. 0:23commercials played, the local news came
  13. 0:25on, and everyone went to bed. But in
  14. 0:27hundreds of thousands of other living
  15. 0:29rooms across the United States and
  16. 0:31Canada, right in the middle of the
  17. 0:33evening, the television picture suddenly
  18. 0:35froze for a split second,
  19. 0:37>> [music]
  20. 0:37>> and then the screen went pitch black. A
  21. 0:39small gray dialogue box popped up in the
  22. 0:42center of the television reading, "This
  23. 0:44is an unrecognized card. Please call
  24. 0:46customer service." At first, people did
  25. 0:49what you always do when an electronic
  26. 0:50stops working. They got up off the
  27. 0:52couch, walked over to the black
  28. 0:54satellite receiver box sitting
  29. 0:55underneath the TV, pulled the plastic
  30. 0:57smart card out of the front slot, wiped
  31. 0:59the gold microchip contacts on their
  32. 1:01shirt, and slid it back in. Nothing
  33. 1:03happened. So they unplugged the box from
  34. 1:05the wall, waited 30 seconds, and plugged
  35. 1:07it back in. Still nothing. Within 20
  36. 1:10minutes, underground internet forums and
  37. 1:12chat rooms were completely flooded with
  38. 1:14panicked messages from people all over
  39. 1:16the continent asking the exact same
  40. 1:18question, [music]
  41. 1:19"Did your screen just go black, too?"
  42. 1:21What those people didn't know yet was
  43. 1:23that their television hadn't broken by
  44. 1:25accident. Every single person whose
  45. 1:27screen went dark that night had been
  46. 1:28using a modified DirecTV smart card, a
  47. 1:31small white piece of plastic that had
  48. 1:33been altered at home to unlock every
  49. 1:35movie channel, every sports package, and
  50. 1:37every pay-per-view event in the sky
  51. 1:39without paying a dime. And when hardware
  52. 1:41hackers pulled those dead cards out of
  53. 1:43their satellite boxes later that night,
  54. 1:45plugged them into custom circuit boards
  55. 1:47connected to their computers, and
  56. 1:49inspected the raw code inside the
  57. 1:50microchip to see what had gone wrong,
  58. 1:52they found something chilling. Not only
  59. 1:55had [music] an invisible command from
  60. 1:5622,000 miles in space permanently fried
  61. 1:59the memory inside every hacked card on
  62. 2:01the continent at the exact same time.
  63. 2:04Whoever wrote the attack had left a
  64. 2:05personal message behind. Right at the
  65. 2:07very top of the microchips memory, the
  66. 2:10first eight bytes of computer code had
  67. 2:11been overwritten to spell out two
  68. 2:13English words in capital letters, game
  69. 2:16over. That night went down in internet
  70. 2:18and hardware history as Black Sunday. It
  71. 2:21was the climax of one of the wildest,
  72. 2:23smartest, and strangest technological
  73. 2:25wars of the late 1990s and early 2000s.
  74. 2:28For nearly a decade, an underground army
  75. 2:30of backyard tinkerers, Canadian gray
  76. 2:33market dealers, and bedroom programmers
  77. 2:35went toe-to-toe against aerospace
  78. 2:37engineers, world-famous cryptographers,
  79. 2:39and a secretive corporate intelligence
  80. 2:40unit playing a multi-billion dollar game
  81. 2:43of cat and mouse over the television
  82. 2:45signals raining down from orbit. So, how
  83. 2:47did DirecTV slip this attack past the
  84. 2:49hackers? And did it actually put an end
  85. 2:51to satellite piracy? To understand why
  86. 2:54satellite television became the ultimate
  87. 2:56playground for hardware hackers in the
  88. 2:581990s, you first have to understand a
  89. 3:00basic physical problem with broadcasting
  90. 3:03anything from space. When a cable
  91. 3:05company sends television to your house,
  92. 3:07the signal travels through a physical
  93. 3:09copper or fiber optic wire buried under
  94. 3:11your street. If you don't pay your cable
  95. 3:13bill, the company can literally send a
  96. 3:15technician in a truck to climb a pole,
  97. 3:18unscrew the wire connected to your
  98. 3:19house, and cut you off. With a satellite
  99. 3:22floating 22,300
  100. 3:24miles above the equator, you cannot do
  101. 3:26that. Once a satellite beams a
  102. 3:28television signal down toward North
  103. 3:30America, that signal isn't aimed at
  104. 3:32individual houses. It falls over the
  105. 3:34entire continent like sunlight or rain.
  106. 3:36It hits every roof, every backyard, and
  107. 3:39every balcony from Mexico to northern
  108. 3:41Canada, whether the people living there
  109. 3:43pay for a subscription or not. In fact,
  110. 3:45for the first 10 years of satellite
  111. 3:47television, the signals weren't even
  112. 3:49locked. Back in the late 1970s and early
  113. 3:51'80s, networks like HBO, CNN, and ESPN
  114. 3:55started using giant satellites in orbit
  115. 3:57for a pretty simple business reason.
  116. 3:59They needed an easy way to beam their
  117. 4:01channels from their main headquarters to
  118. 4:03thousands of local cable companies
  119. 4:04scattered across the country. Those
  120. 4:06local cable companies had big satellite
  121. 4:08dishes out back, caught the clean signal
  122. 4:10from the sky, and sent it down the wires
  123. 4:12to paying customers in town. The
  124. 4:14networks never expected normal families
  125. 4:16to catch that signal directly from space
  126. 4:18because the equipment required to pick
  127. 4:20up those early analog C-band satellites
  128. 4:22cost tens of thousands of dollars and
  129. 4:25needed a metal dish 10 ft wide.
  130. 4:27Naturally, they underestimated how much
  131. 4:29people love free television. Starting
  132. 4:32around 1980, clever electrical engineers
  133. 4:35and rural homeowners who lived too far
  134. 4:37out in the country to get cable started
  135. 4:39building their own 10-ft aluminum mesh
  136. 4:41dishes in their backyards. People called
  137. 4:43them big ugly dishes or buds. And if you
  138. 4:47had one of those giant motorized dishes
  139. 4:48in your yard in 1984, it was like having
  140. 4:51a magic window into the television
  141. 4:53industry. You could turn the dish across
  142. 4:55the sky and watch every movie channel on
  143. 4:57Earth for free along with raw, unedited
  144. 5:00live news feeds where news anchors were
  145. 5:02sitting at their desks getting their
  146. 5:03makeup touched up and swearing during
  147. 5:05commercial breaks because they didn't
  148. 5:07think anyone at home was watching. By
  149. 5:091985, over a million backyard dishes had
  150. 5:12popped up across North America and the
  151. 5:14television networks panicked. So, on
  152. 5:16January 15th, 1986, HBO flipped the
  153. 5:20switch on the first serious commercial
  154. 5:22satellite lock, an analog scrambling
  155. 5:24system called VideoCipher II. Overnight,
  156. 5:27if you pointed your backyard dish at HBO
  157. 5:29without buying a pricey decoder box and
  158. 5:31paying $12.95 a month, the sound
  159. 5:34vanished and the picture looked like a
  160. 5:36warped inverted mess of static. Three
  161. 5:39months later, a furious satellite
  162. 5:41technician in Florida named John
  163. 5:42McDougall, calling himself Captain
  164. 5:44Midnight, aimed a commercial uplink dish
  165. 5:47at HBO's satellite during a midnight
  166. 5:48movie, overpowered their signal, and
  167. 5:51forced a full-screen text message onto
  168. 5:53televisions across the country
  169. 5:54protesting the $12.95 monthly fee.
  170. 5:57Captain Midnight got caught by the FCC,
  171. 6:00but thousands of quiet electronics
  172. 6:02hobbyists took a different route.
  173. 6:03Instead of jamming the satellite, they
  174. 6:05opened up the VideoCipher decoder boxes
  175. 6:07with screwdrivers, desoldered the memory
  176. 6:10chips inside, read the secret decryption
  177. 6:12keys, and started selling modified
  178. 6:14circuit boards out of the backs of
  179. 6:15magazines and across the Canadian
  180. 6:17border. Every time the manufacturer
  181. 6:19released a new version of the
  182. 6:20VideoCipher board, hackers cracked it
  183. 6:22within months. And each time they did,
  184. 6:25the satellite company had to physically
  185. 6:27manufacture and replace giant, expensive
  186. 6:30circuit boards inside people's living
  187. 6:31rooms. By the early 1990s, Hughes
  188. 6:34Electronics, the aerospace defense giant
  189. 6:37that was owned by General Motors at the
  190. 6:38time, was getting ready to launch a
  191. 6:40project that would change television
  192. 6:42forever. They called it DirecTV. Instead
  193. 6:45of using low-power analog signals that
  194. 6:47needed a 10-ft metal dish in the
  195. 6:49backyard, Hughes built high-powered
  196. 6:51digital satellites that beamed
  197. 6:52compressed MPEG-2 digital video down to
  198. 6:55a tiny 18-in gray dish the size of a
  199. 6:58large pizza, small enough to bolt onto
  200. 7:00the side of a suburban house or an
  201. 7:02apartment balcony. When DirecTV
  202. 7:04officially launched in June of 1994,
  203. 7:07alongside its RCA-branded digital
  204. 7:09satellite system receivers, it was the
  205. 7:11fastest-selling consumer electronics
  206. 7:13product in American history, selling
  207. 7:15faster than the VCR or the compact disc
  208. 7:17player. Suddenly, anyone could walk into
  209. 7:20Circuit City or Sears, buy a box, point
  210. 7:22a small dish at 101° west in the
  211. 7:25southern sky, and get 175 crystal-clear
  212. 7:28digital channels.
  213. 7:30Having watched the VideoCipher bloodbath
  214. 7:32of the 1980s, Hughes executives knew
  215. 7:34that with millions of 18-in dishes
  216. 7:36sitting on rooftops, pirates were going
  217. 7:38to come after DirecTV immediately. And
  218. 7:41they knew one thing for sure, they could
  219. 7:43not put the permanent security chip
  220. 7:45inside the metal receiver box under the
  221. 7:46TV. Because if hackers ever cracked a
  222. 7:49chip that was soldered inside 3 million
  223. 7:51living room receivers, replacing 3
  224. 7:53million receivers would bankrupt the
  225. 7:55company. So, to build the lock for
  226. 7:57DirecTV, Hughes hired a company called
  227. 7:59News Datacom, later known as NDS. NDS
  228. 8:03had been started in Israel by a group of
  229. 8:05elite cryptographers, including Adi
  230. 8:07Shamir, the co-inventor of the famous
  231. 8:09RSA encryption that still protects
  232. 8:11almost the entire modern internet, and
  233. 8:14was backed by media mogul Rupert
  234. 8:15Murdoch, who was already using their
  235. 8:17security system for his Sky satellite
  236. 8:19network in the UK. And NDS had a
  237. 8:22brilliant solution for keeping the
  238. 8:23satellite box cheap and replaceable. Put
  239. 8:26the entire brain of the security system
  240. 8:28inside a removable plastic smart card
  241. 8:30the size of a credit card. Even if you
  242. 8:33have never looked closely at a 1990s
  243. 8:35satellite receiver, you have seen a
  244. 8:37smart card before because it is the
  245. 8:38exact same technology as the little gold
  246. 8:41chip on your modern bank debit card or
  247. 8:43the SIM card inside your phone. That
  248. 8:45little gold square on the front of the
  249. 8:46plastic card isn't a battery or a
  250. 8:48magnet. It is just a set of flat metal
  251. 8:51contact pads connected by hair-thin gold
  252. 8:53wires to a tiny silicon computer sealed
  253. 8:56inside the plastic. Inside a 1994
  254. 8:59DirecTV smart card was a miniature 8-bit
  255. 9:01computer processor, specifically a
  256. 9:03Motorola 6805, along with a few
  257. 9:06kilobytes of permanent read-only memory
  258. 9:08called ROM, a tiny sliver of working
  259. 9:11RAM, and a small block of electrically
  260. 9:13erasable memory called EEPROM,
  261. 9:16which could be rewritten over the air to
  262. 9:17update what channels you were paying
  263. 9:19for. Here is how the whole thing worked
  264. 9:21when you sat down to watch TV. Up in
  265. 9:23space, the satellite scrambled the video
  266. 9:25stream using a fast mathematical cipher
  267. 9:28that changed its secret unlocking
  268. 9:29password, called the control word, every
  269. 9:3110 seconds. If your receiver box didn't
  270. 9:34get the new 8-byte control word every 10
  271. 9:36seconds, the picture froze. Now, the
  272. 9:39satellite didn't send that password down
  273. 9:41in plain sight. Instead, several times a
  274. 9:43minute, the satellite beamed down an
  275. 9:45encrypted mathematical puzzle right
  276. 9:47alongside the video signal. The metal
  277. 9:49receiver box under your TV caught that
  278. 9:51puzzle, passed it through the gold
  279. 9:53contacts into the plastic smart card,
  280. 9:55and asked the card to solve it. Inside
  281. 9:58the smart card, the tiny processor
  282. 10:00checked two things. First, does it know
  283. 10:02the top secret master math formula
  284. 10:04burned into its hardware? And second,
  285. 10:06does the subscriber list stored in its
  286. 10:08erasable memory say that this customer
  287. 10:11actually paid their bill for HBO or the
  288. 10:13pay-per-view fight tonight? If the
  289. 10:15answer to both was yes, the smart card
  290. 10:17solved the puzzle, spat the 8-byte
  291. 10:19unlocking word back out to the receiver
  292. 10:21box, and you got 10 more seconds of
  293. 10:23television. And if hackers ever managed
  294. 10:25to crack that smart card, DirecTV
  295. 10:27wouldn't have to replace a single
  296. 10:29receiver box. They could just stamp out
  297. 10:31millions of new plastic cards for a
  298. 10:33couple of dollars apiece, drop them in
  299. 10:35the mail, and tell every customer to
  300. 10:37pull out the old card and slide in the
  301. 10:38new one.
  302. 10:39On paper, NDS and DirecTV promised
  303. 10:42investors that this digital smart card
  304. 10:44system was virtually unhackable. In
  305. 10:47reality, before the very first DirecTV
  306. 10:49dish even hit store shelves in America
  307. 10:51in June of 1994, the security on their
  308. 10:54first smart card, known as the F card or
  309. 10:57the period one card, was already living
  310. 10:59on borrowed time. Why? Because to get
  311. 11:02DirecTV launched on schedule, NDS didn't
  312. 11:05design a brand new microchip from
  313. 11:06scratch for the American F card.
  314. 11:08Instead, they based it heavily on the
  315. 11:10card they had just rolled out a few
  316. 11:12months earlier in Europe for Rupert
  317. 11:14Murdoch's British Sky Broadcasting, a
  318. 11:16card known as the Sky 09. And over in
  319. 11:19Europe, a small group of underground
  320. 11:21hardware hackers and university
  321. 11:23researchers had already figured out how
  322. 11:25to break into it. Back then, if you
  323. 11:27wanted to read the secret master program
  324. 11:29locked inside a smart card's permanent
  325. 11:31memory, you couldn't just plug it into a
  326. 11:33computer and hit copy. The chip was
  327. 11:35designed to lock out anyone trying to
  328. 11:37read its internal ROM. So, European
  329. 11:39hackers resorted to techniques that
  330. 11:41sounded like something out of a spy
  331. 11:43movie. Some labs used fuming nitric acid
  332. 11:45to physically dissolve the plastic and
  333. 11:47epoxy over the silicon chip, looked at
  334. 11:49the microscopic transistors under an
  335. 11:51electron microscope, and placed tiny
  336. 11:53micro probes directly onto the data
  337. 11:56lines inside the chip. Even more
  338. 11:58cleverly, hackers discovered that NDS
  339. 12:00had built an over-the-air update feature
  340. 12:02into the card's software, little hidden
  341. 12:04instructions called nano commands that
  342. 12:06let the satellite company rewrite bytes
  343. 12:08in the card's erasable memory. By
  344. 12:10feeding the card crafted instructions
  345. 12:12one byte at a time and watching how long
  346. 12:14the chip took to respond or how much
  347. 12:16electrical current it drew, hackers
  348. 12:18tricked the card into spitting out its
  349. 12:20own secret code from the inside out. A
  350. 12:22trick the European underground called
  351. 12:24the vampire hack. Once the guts of the
  352. 12:27European system were exposed, that
  353. 12:29knowledge jumped across the Atlantic
  354. 12:31almost immediately. And the place where
  355. 12:33the North American satellite hacking
  356. 12:34explosion truly took off wasn't
  357. 12:36California or New York, it was Canada.
  358. 12:39If you didn't live in Canada during the
  359. 12:41late 1990s, it is hard to overstate just
  360. 12:44how massive hacked American satellite TV
  361. 12:46became north of the border. By the year
  362. 12:482000, industry analysts estimated that
  363. 12:51nearly one out of every five households
  364. 12:53with a satellite dish in Canada was
  365. 12:55watching hacked American DirecTV. And
  366. 12:58the [clears throat] reason why came down
  367. 12:59to a bizarre legal loophole. When
  368. 13:02DirecTV aimed its satellites at the
  369. 13:03United States from orbit, the signal
  370. 13:06didn't magically stop at the US-Canada
  371. 13:08border. The signal was crystal clear
  372. 13:10across almost every major Canadian city.
  373. 13:13Even crazier, electronic stores across
  374. 13:15Canada were allowed to sell the 18-in
  375. 13:18RCA dishes and receivers right on the
  376. 13:20shelf. However, Canadian broadcasting
  377. 13:22regulators, the CRTC, refused to license
  378. 13:26DirecTV to operate in Canada because
  379. 13:28they wanted to protect Canadian cable
  380. 13:30companies until Canada could launch its
  381. 13:32own satellite services. So, if you were
  382. 13:34a Canadian who bought an 18-in dish at a
  383. 13:36store in Toronto or Vancouver and called
  384. 13:39DirecTV with your credit card to pay for
  385. 13:41a legal subscription, DirecTV had to
  386. 13:43tell you no. That created a surreal
  387. 13:46situation where millions of Canadians
  388. 13:48had the signal hitting their roofs, had
  389. 13:50the hardware in their living rooms, and
  390. 13:52wanted to pay for TV, but weren't
  391. 13:54legally allowed to buy it. At one point,
  392. 13:56a judge in Quebec even threw out charges
  393. 13:58against satellite dealers with the
  394. 14:00famous logic that you cannot steal
  395. 14:02something that the owner refuses to sell
  396. 14:04you. Almost overnight, a massive cottage
  397. 14:07industry was born in Canadian border
  398. 14:08towns and suburbs. First, thousands of
  399. 14:11people signed up for what was called the
  400. 14:12gray market, paying a middleman with a
  401. 14:15post office box in Florida or Montana to
  402. 14:17set up a legal American account in their
  403. 14:19name. And then, around the fall of 1995,
  404. 14:23Canadian hardware hackers, including
  405. 14:25veterans of the 1980s video cipher wars,
  406. 14:27like Norman Dick in Victoria, British
  407. 14:29Columbia, stopped bothering with legal
  408. 14:31subscriptions altogether and released
  409. 14:33the infamous Canadian battery card.
  410. 14:36Because the original DirecTV F card
  411. 14:38didn't have any custom hardware
  412. 14:39encryption chips inside it, just a
  413. 14:41standard processor running soft ware.
  414. 14:43Hackers realized they didn't even need a
  415. 14:45real DirecTV card. They built custom
  416. 14:47circuit boards sized to fit into the
  417. 14:49receiver slot, soldered on a processor
  418. 14:51and a small round watch battery to keep
  419. 14:53the memory alive, loaded the cracked
  420. 14:55DirecTV code onto it, and sold them for
  421. 14:58$700 a piece. When you slid a battery
  422. 15:01card into your box, every single channel
  423. 15:03on DirecTV and USSB unlocked instantly.
  424. 15:06DirecTV and the police fought back hard.
  425. 15:09In June of 1996, the FBI and the Royal
  426. 15:12Canadian Mounted Police launched
  427. 15:14coordinated raids across four countries,
  428. 15:16seizing thousands of bootleg cards and
  429. 15:18suing dozens of dealers. But the code
  430. 15:21was already out on the internet, and now
  431. 15:23hackers had figured out how to reprogram
  432. 15:25standard plastic F cards without even
  433. 15:27needing the bulky battery board. DirecTV
  434. 15:29realized their first generation card was
  435. 15:31completely toast. It was time to pull
  436. 15:34the trigger on their backup plan.
  437. 15:36Starting in 1997, DirecTV spent tens of
  438. 15:39millions of dollars manufacturing and
  439. 15:41mailing out a brand new second
  440. 15:43generation smart card to every single
  441. 15:45subscriber. Known officially as the
  442. 15:47period two card, or as everyone in the
  443. 15:49world called it, the H card, because the
  444. 15:51serial numbers on the back started with
  445. 15:53the letter H. Once all the paying
  446. 15:55customers had swapped their cards,
  447. 15:57DirecTV shut off the old F card data
  448. 15:59stream forever. Now, NDS had learned a
  449. 16:02big lesson from the F card disaster. The
  450. 16:04reason pirates had been able to
  451. 16:05manufacture fake F cards in their
  452. 16:07garages was that the F card only used a
  453. 16:09standard processor. So, inside the new
  454. 16:12white H card, right alongside the main
  455. 16:15processor, NDS added a custom-built
  456. 16:17hardware chip called an ASIC, an
  457. 16:20application-specific integrated circuit.
  458. 16:22Whenever the satellite sent a math
  459. 16:24puzzle down to the H card, the processor
  460. 16:26had to pass the numbers through that
  461. 16:28secret hardware chip to get the right
  462. 16:30answer. And because that custom silicon
  463. 16:32chip couldn't be bought at an electronic
  464. 16:34store or simulated on a cheap
  465. 16:36microcontroller, pirates could no longer
  466. 16:38manufacture fake cards from scratch. To
  467. 16:40watch DirecTV now, you absolutely had to
  468. 16:43have a genuine factory-made DirecTV H
  469. 16:46card in your box. For a few months in
  470. 16:481997, DirecTV executives breathed a sigh
  471. 16:51of relief. They figured that since
  472. 16:53nobody could make fake cards anymore,
  473. 16:55piracy was dead. They overlooked one
  474. 16:58massive detail. There were already
  475. 17:00millions of genuine H cards sitting out
  476. 17:02in the wild, in electronic store display
  477. 17:04boxes, in canceled subscriber accounts,
  478. 17:07and on the second-hand market. And while
  479. 17:09hackers couldn't copy the secret
  480. 17:10hardware chip inside the H card, they
  481. 17:13didn't need to. They just needed to
  482. 17:14trick the genuine H card into thinking
  483. 17:17it was subscribed to every channel.
  484. 17:19Think about how a genuine H card worked.
  485. 17:21The permanent ROM inside the card held
  486. 17:23the main operating system, which
  487. 17:25couldn't be changed. But the card's
  488. 17:27erasable memory, the EEPROM, held your
  489. 17:29personal subscription tiers, your
  490. 17:31spending limits for pay-per-view movies,
  491. 17:33and small software patches that DirecTV
  492. 17:35sent down from space. Normally, the card
  493. 17:38wouldn't let an outside computer just
  494. 17:39plug in and rewrite that erasable memory
  495. 17:42unless you knew the secret passwords.
  496. 17:44But hardware hackers discovered a flaw,
  497. 17:46known in the scene as a hole, in how the
  498. 17:49H card handled memory commands and power
  499. 17:51spikes. Within months of the H card
  500. 17:53launching, a group of hackers released a
  501. 17:55tiny software patch that became
  502. 17:57legendary across North America, the 3M
  503. 18:00hack, short for the Three Musketeers.
  504. 18:03Using a $50 hobbyist smart card reader
  505. 18:05called a Phoenix programmer, plugged
  506. 18:07into the serial port on the back of a
  507. 18:09regular home Windows PC, you could slide
  508. 18:12a deactivated expired H card into the
  509. 18:14slot, run a small program, and inject a
  510. 18:17few dozen bytes of custom 3M code
  511. 18:19straight into the card's erasable
  512. 18:21memory. That tiny patch acted like a
  513. 18:23crooked bouncer standing at the door of
  514. 18:25a nightclub. Whenever the satellite
  515. 18:27receiver asked the H card, "Hey, is this
  516. 18:29person subscribed to HBO, Cinemax,
  517. 18:32Showtime, NFL Sunday Ticket, and the
  518. 18:34pay-per-view boxing match tonight?" The
  519. 18:363M patch intercepted the question before
  520. 18:39the card could check its real
  521. 18:40subscription list and immediately
  522. 18:41replied, "Yep, they paid for everything.
  523. 18:44Go ahead and unscramble the picture."
  524. 18:46Between 1998 and the year 2000, the H
  525. 18:49card turned satellite hacking from a
  526. 18:51niche electronics hobby into a
  527. 18:52full-blown suburban craze. You didn't
  528. 18:55need a soldering iron or an engineering
  529. 18:57degree anymore. Every office building,
  530. 18:59factory floor, firehouse, and
  531. 19:01neighborhood had a guy, some coworker or
  532. 19:03cousin who owned a $50 smart card
  533. 19:06programmer and charged 50 bucks to
  534. 19:07program your H card for you. Deactivated
  535. 19:10H cards that were literally worthless
  536. 19:12pieces of plastic if you canceled your
  537. 19:14subscription were suddenly selling on
  538. 19:16eBay and in classified ads for 300 to
  539. 19:18$400 each.
  540. 19:20Inside DirecTV's Security Center in El
  541. 19:23Segundo, California, and at NDS's
  542. 19:25laboratories in Israel, California, and
  543. 19:27the UK, this was a five-alarm crisis.
  544. 19:31Billions of dollars in potential
  545. 19:33subscription and pay-per-view revenue
  546. 19:34were vanishing into thin air. And
  547. 19:37issuing a third-generation card to
  548. 19:38millions of customers would take years
  549. 19:41and cost upwards of a hundred million
  550. 19:43dollars. They had to fight the hackers
  551. 19:45using the H cards that were already in
  552. 19:47people's boxes. And the only weapon they
  553. 19:49had to reach into millions of living
  554. 19:51rooms at once was the ECM, the
  555. 19:53electronic countermeasure. An ECM was
  556. 19:56basically a booby-trapped software
  557. 19:58update beamed down from the satellite.
  558. 20:00Remember how NDS had designed the smart
  559. 20:02cards so that the satellite could send
  560. 20:04tiny nano commands over the air to
  561. 20:06update the erasable EEPROM inside every
  562. 20:09card? Well, legally subscribed cards and
  563. 20:12hacked 3M cards were both listening to
  564. 20:14the exact same satellite signal. DirecTV
  565. 20:17couldn't tell from space whose living
  566. 20:19room had a hacked card because a The
  567. 20:21dish only receives signals. It never
  568. 20:23transmits anything back up into space.
  569. 20:26So, instead, DirecTV's engineers started
  570. 20:28writing clever little diagnostic
  571. 20:30programs and beaming them down inside
  572. 20:32the normal channel data to every single
  573. 20:34card in North America. When that tiny
  574. 20:37program landed inside your smart card,
  575. 20:39it looked around inside the card's
  576. 20:40erasable memory to check if everything
  577. 20:42was exactly where factory code was
  578. 20:44supposed to be. If you had a clean,
  579. 20:46legal card that hadn't been touched, the
  580. 20:48test passed, the card updated its normal
  581. 20:50checksum number, and you kept watching
  582. 20:52TV without ever knowing anything
  583. 20:54happened. But, if the diagnostic program
  584. 20:56looked inside your card's memory and
  585. 20:58spotted a single byte of the pirate 3M
  586. 21:00patch, or noticed that a memory address
  587. 21:03had been altered, the ECM sprung a trap.
  588. 21:06Before the hacked card could stop it,
  589. 21:08the ECM instructed the card to overwrite
  590. 21:10a crucial part of its own startup memory
  591. 21:12in the EEPROM, forcing the card's
  592. 21:14processor to jump into an endless
  593. 21:16dead-end circular loop the next time it
  594. 21:18tried to run. In the hacker
  595. 21:19[clears throat] scene, this was called
  596. 21:21getting looped, or getting hit with a 99
  597. 21:24loop, because when you plugged the dead
  598. 21:26card into a computer diagnostic tool,
  599. 21:28the screen just spat out the hexadecimal
  600. 21:30code 99 over and over again forever. The
  601. 21:34very first major ECM hit the 3M cards on
  602. 21:37November 21st, 1997, followed by
  603. 21:40[clears throat] an even bigger one on
  604. 21:41January 15th, 1998, and another famous
  605. 21:44one in October of 1998, called the magic
  606. 21:47ECM. Each time DirecTV fired an ECM from
  607. 21:51space, hundreds of thousands of TVs went
  608. 21:53dark. And for a few days, DirecTV
  609. 21:56thought they had permanently killed the
  610. 21:58hacked cards, because once a card was
  611. 22:00stuck in an endless boot loop, a
  612. 22:01standard smart card programmer couldn't
  613. 22:03even talk to the card to erase the bad
  614. 22:05byte. And how did the underground
  615. 22:07respond? They invented one of the
  616. 22:09coolest pieces of backyard hacker
  617. 22:11hardware ever made, the unlooper.
  618. 22:14Initially pioneered by a Canadian
  619. 22:16hardware wizard named Eddie at Northsat
  620. 22:18in Winnipeg, Manitoba, and later turned
  621. 22:20into famous mass-produced hobby boards
  622. 22:22with names like the WildThing unlooper,
  623. 22:24the concept behind an unlooper was pure
  624. 22:27lateral thinking. When a looped H card
  625. 22:29turned on, the processor followed its
  626. 22:31startup instructions step-by-step until
  627. 22:33it hit the booby-trapped memory address
  628. 22:35that sent it into an endless circle. You
  629. 22:37couldn't change that memory address
  630. 22:39normally because the card crashed into
  631. 22:41the loop before it ever turned on its
  632. 22:42serial communication port. So, the
  633. 22:44unlooper used a technique called voltage
  634. 22:47and clock glitching. You slid your dead
  635. 22:49looped H card into the unlooper circuit
  636. 22:51board. A small microcontroller on the
  637. 22:54unlooper powered up the H card and
  638. 22:56counted the exact microsecond clock
  639. 22:58ticks as the H card's processor woke up.
  640. 23:00Then, at the exact microsecond the H
  641. 23:03card's processor was about to read the
  642. 23:04booby-trapped loop instruction, the
  643. 23:06unlooper suddenly dropped the electrical
  644. 23:08voltage and spiked the clock speed for a
  645. 23:10billionth of a second. That tiny
  646. 23:12electrical hiccup caused the processor
  647. 23:14inside the smart card to literally
  648. 23:16stumble and skip right over the trap
  649. 23:18instruction, just like bumping a record
  650. 23:20player makes the needle skip across a
  651. 23:22scratched groove on a vinyl record,
  652. 23:24dropping the card straight into its
  653. 23:25repair mode where the unlooper could
  654. 23:27wipe out DirecTV's trap and restore the
  655. 23:29card to working order in 10 seconds
  656. 23:31flat.
  657. 23:33By 1999 and the year 2000, the war had
  658. 23:36turned into an embarrassing routine for
  659. 23:37DirecTV. Hackers had even added software
  660. 23:40blockers to their cards that ignored
  661. 23:42unauthorized updates from the satellite
  662. 23:44or built wedge cards and combo cards
  663. 23:46that sat between the H card and the
  664. 23:48receiver. Whenever DirecTV beamed down a
  665. 23:51new ECM on a Friday afternoon right
  666. 23:53before a big pay-per-view boxing match
  667. 23:55or wrestling event, thousands of
  668. 23:56hobbyists immediately logged onto
  669. 23:58websites like DSSTester, DR7, or IRC
  670. 24:02chat channels. Within 15 or 20 minutes
  671. 24:05of the attack coming down from orbit,
  672. 24:06top reverse engineers in the scene had
  673. 24:08already captured the satellite data
  674. 24:10stream, disassembled DirecTV's code,
  675. 24:12written a bypass script, and uploaded
  676. 24:14the new fix to the internet. People just
  677. 24:17walked from their living room to their
  678. 24:18computer desk, flashed the new file onto
  679. 24:20their card in 30 seconds, walked back to
  680. 24:22the couch, and watched the fight. What
  681. 24:24the people celebrating in those internet
  682. 24:26forums didn't realize in the summer of
  683. 24:282000, though, was that the game had
  684. 24:30quietly changed behind the scenes.
  685. 24:32Because NDS and DirecTV had stopped
  686. 24:35treating this like a normal engineering
  687. 24:36problem, and had brought in a ringer who
  688. 24:38thought exactly like the hackers did.
  689. 24:41Years later, a landmark investigation by
  690. 24:43Wired Magazine revealed the secret
  691. 24:45weapon sitting inside NDS's security
  692. 24:47team, a brilliant self-taught hardware
  693. 24:50hacker and former US Army signals
  694. 24:52intelligence specialist named
  695. 24:53Christopher Tarnovsky. Working alongside
  696. 24:56elite smart card reverse engineers like
  697. 24:58Oliver Commerling, who had originally
  698. 25:00helped crack European pay TV cards in
  699. 25:02the mid-90s before NDS hired them onto
  700. 25:04the corporate side. Tarnovsky and the
  701. 25:06NDS team knew every single trick the
  702. 25:09underground was using. They lurked in
  703. 25:11the exact same web forums, downloaded
  704. 25:13the exact same unlooper schematics, and
  705. 25:15studied the exact same pirate patches,
  706. 25:18including the most popular pirate
  707. 25:19software running on hundreds of
  708. 25:21thousands of H cards in the year 2000, a
  709. 25:23patch with a built-in update blocker
  710. 25:25called Ultra 3M. Looking at the Ultra 3M
  711. 25:28pirate code, Tarnovsky and the security
  712. 25:30team realized why all of DirecTV's
  713. 25:32previous ECM attacks had failed so
  714. 25:34quickly. Every time DirecTV sent down a
  715. 25:37big, obvious attack packet that demanded
  716. 25:39a new security check, the hackers saw it
  717. 25:41coming, analyzed the packet in 10
  718. 25:43minutes, and wrote a patch to fake the
  719. 25:45answer. Even worse, previous ECMs only
  720. 25:49damaged the erasable EEPROM in ways that
  721. 25:51an unlooper could glitch past and fix.
  722. 25:53If they wanted to win, they couldn't
  723. 25:55fire a single big cannonball from space.
  724. 25:58They needed to smuggle a bomb into the
  725. 26:00cards piece by piece, and when it went
  726. 26:02off, it had to break a part of the card
  727. 26:04that no unlooper on Earth could ever
  728. 26:06erase. Starting in the autumn of 2000,
  729. 26:09around September, DirecTV's satellites
  730. 26:11began transmitting tiny, seemingly
  731. 26:14meaningless updates down to every H card
  732. 26:16in North America. If a hacker was
  733. 26:18watching the satellite data stream on
  734. 26:19their computer screen, each update was
  735. 26:21only a couple of bytes long. It didn't
  736. 26:24try to loop the card. It didn't touch
  737. 26:26the pirate 3M code. It just wrote two or
  738. 26:28three random-looking numbers into an
  739. 26:30unused blank space in the card's
  740. 26:32erasable memory and updated a tiny
  741. 26:34verification check so the card had to
  742. 26:36let the harmless bites inside to keep
  743. 26:38decoding TV channels. A few days later,
  744. 26:41the satellite sent another tiny harmless
  745. 26:43looking two-byte update to a different
  746. 26:45spot in memory and then another one the
  747. 26:47week after that. Because none of these
  748. 26:49tiny fragments contained a complete
  749. 26:51program or tried to attack the card, the
  750. 26:53pirate blocker software let them right
  751. 26:55through and the hackers inspecting the
  752. 26:57logs shrugged them off as meaningless
  753. 26:58housekeeping data from DirecTV. Over the
  754. 27:01course of 4 months leading right up to
  755. 27:03January of 2001, DirecTV quietly beamed
  756. 27:06down 50 separate silent fragments of
  757. 27:09code. By the third week of January,
  758. 27:11every single modified H card sitting in
  759. 27:13a receiver box across the United States
  760. 27:15and Canada had unknowingly collected all
  761. 27:1850 pieces of a dormant software program
  762. 27:20inside its memory. Then came Sunday
  763. 27:23evening, January 21st, 2001, 7 days
  764. 27:26before the Super Bowl. DirecTV
  765. 27:28transmitted the 51st and final packet.
  766. 27:31That final packet wasn't a piece of
  767. 27:33data. It was the trigger. It linked all
  768. 27:3650 dormant fragments together in the
  769. 27:37card's memory and executed them all at
  770. 27:40once. The assembled program immediately
  771. 27:42scanned the card's memory to see if the
  772. 27:44card had been tampered with by pirate
  773. 27:45software. If your card was a clean,
  774. 27:48untouched card owned by a paying DirecTV
  775. 27:50customer, the program quietly deleted
  776. 27:52itself and did nothing. But, if the
  777. 27:55program detected pirate code on the
  778. 27:56card, it executed a ruthless sequence of
  779. 27:59instructions. You see, inside the
  780. 28:01Motorola chip on the H card, there was a
  781. 28:04special section of memory right around
  782. 28:06hexadecimal address 8000, often referred
  783. 28:09to as write once or fuse memory, along
  784. 28:12with critical system pointers that the
  785. 28:14permanent ROM checked the very instant
  786. 28:16the card received electricity long
  787. 28:18before an unlooper could even attempt to
  788. 28:20glitch the processor. Normally, the card
  789. 28:22software kept that memory locked behind
  790. 28:24hardware write protection so it could
  791. 28:26never be overwritten by accident. The
  792. 28:28Black Sunday code turned off the chip's
  793. 28:30internal protection, permanently
  794. 28:32overwrote that critical startup byte
  795. 28:34from its normal factory value to zero,
  796. 28:36wiped out the card's internal jump
  797. 28:38table, and then, as a final middle
  798. 28:40finger from Christopher Tarnovsky and
  799. 28:42the engineers to the hackers who had
  800. 28:43been taunting them on internet forums
  801. 28:45for 3 years, wrote eight bytes of ASCII
  802. 28:48text into the very beginning of the
  803. 28:50EEPROM. g a m e space o v e r. Estimates
  804. 28:57of how many cards died on Black Sunday
  805. 29:00range from 100,000 to well over half a
  806. 29:02million across the US and Canada.
  807. 29:04Because it happened on a Sunday night
  808. 29:06right before the Super Bowl, the panic
  809. 29:08was hilarious and chaotic. People who
  810. 29:10had bought ready-made free TV for life
  811. 29:13boxes from some guy at a flea market or
  812. 29:15a coworker had no idea how any of the
  813. 29:17tech worked. They just knew their Super
  814. 29:19Bowl party in 7 days didn't have a
  815. 29:21working television anymore. Satellite
  816. 29:23dealers who had foolishly promised their
  817. 29:25customers free lifetime updates
  818. 29:27literally unplugged their store
  819. 29:29telephones, changed their cell numbers,
  820. 29:31and went into hiding for weeks.
  821. 29:33Simultaneously, DirecTV reported a
  822. 29:35sudden mysterious surge of hundreds of
  823. 29:38thousands of brand new legally paying
  824. 29:40subscribers calling in on Monday morning
  825. 29:42to activate accounts before kickoff on
  826. 29:44Super Bowl Sunday. Now, if this were a
  827. 29:46Hollywood movie, Black Sunday would be
  828. 29:48the end of the story. The empire struck
  829. 29:51back, the card said game over, and the
  830. 29:53hackers lost. Except in real life, if
  831. 29:56you tell thousands of obsessed engineers
  832. 29:58and backyard hackers game over, they
  833. 30:01take it personally. And what happened
  834. 30:03over the 12 months after Black Sunday is
  835. 30:05honestly almost crazier than the attack
  836. 30:07itself. First, within weeks of Black
  837. 30:10Sunday, hackers figured out a way around
  838. 30:12the problem for any H card that had
  839. 30:14happened to be sitting in a drawer or
  840. 30:16protected by a strict hardware blocker
  841. 30:18on the night of January 21st. Because if
  842. 30:20your card hadn't been hit by the final
  843. 30:22trigger yet, how could you put it back
  844. 30:24in your satellite box without the
  845. 30:25satellite immediately killing it? The
  846. 30:28answer was called the PC emulator.
  847. 30:30Instead your precious smart card into
  848. 30:33the satellite receiver, you built a flat
  849. 30:35plastic dummy board with a long ribbon
  850. 30:37cable coming out of it and slid that
  851. 30:39into the front of your TV receiver. The
  852. 30:41other end of the ribbon cable plugged
  853. 30:43into the serial port of an old cheap $50
  854. 30:45MS-DOS computer, like an old 386 or 486
  855. 30:49PC, sitting behind your TV cabinet. Your
  856. 30:51real H card sat safely inside a card
  857. 30:54reader attached to the PC. Whenever the
  858. 30:56satellite receiver sent a command down
  859. 30:58the cable, the PC intercepted it,
  860. 31:00pretended to be the smart card, filtered
  861. 31:02out every single dangerous update or ECM
  862. 31:05from DirecTV and only passed the safe
  863. 31:0710-second video math puzzles over to the
  864. 31:09real card so it could borrow the
  865. 31:11hardware ASIC chip. With an emulator PC
  866. 31:14humming quietly behind the couch,
  867. 31:16DirecTV's ECMs couldn't touch the card
  868. 31:18at all. Even more insanely, hardware
  869. 31:21hackers refused to accept that the
  870. 31:23hundreds of thousands of cards killed on
  871. 31:25Black Sunday were permanently dead. Even
  872. 31:27though Black Sunday had overwritten
  873. 31:29memory that couldn't be fixed through
  874. 31:30software, hardware modders actually
  875. 31:33started taking rotary grinding tools,
  876. 31:35Dremels, and razor blades to the back of
  877. 31:37the dead plastic H cards. They scraped
  878. 31:40away the white plastic right over the
  879. 31:41microchip, soldered tiny microscopic
  880. 31:44jumper wires, or snapped an extra
  881. 31:46replacement memory chip, nicknamed a
  882. 31:48sombrero because it sat on top of the
  883. 31:50old chip like a hat, right onto the dead
  884. 31:52silicon to physically override the
  885. 31:54damaged memory bytes during boot up,
  886. 31:56bringing unfixable game over cards right
  887. 31:58back from the grave.
  888. 32:00Realizing that the H card was a zombie
  889. 32:02that simply refused to stay dead,
  890. 32:04DirecTV moved to replace every H card in
  891. 32:07America with their third generation
  892. 32:08card, the Period 3 card, better known as
  893. 32:11the HU card or the Football card,
  894. 32:14because the front of the card had a
  895. 32:15bright red picture of a football player
  896. 32:17on it. Once again, the Football card was
  897. 32:19supposed to be unhackable. And once
  898. 32:22again, following a shadowy trail of
  899. 32:24leaked diagnostic code, Russian reverse
  900. 32:26engineers, and underground turf wars,
  901. 32:28hackers cracked the Football card, too.
  902. 32:31Leading to an infamous moment during the
  903. 32:32card swap where DirecTV set up a hidden
  904. 32:35channel that only hacked cards would
  905. 32:37automatically tune into, broadcasting a
  906. 32:39looping video of a stern spokesperson
  907. 32:41warning viewers that they were watching
  908. 32:43an illegal signal.
  909. 32:45So, what finally ended the great 90s
  910. 32:47satellite hacking war? It wasn't a
  911. 32:49single clever piece of computer code
  912. 32:51from space. It was lawyers, subpoenaed
  913. 32:53UPS shipping logs, and a brand new
  914. 32:55generation of silicon. Starting around
  915. 32:582002 and 2003, DirecTV realized that
  916. 33:01trying to beat hundreds of thousands of
  917. 33:03hobbyists solely through software
  918. 33:05updates was a losing battle. So, they
  919. 33:07created an internal enforcement division
  920. 33:09called the Office of Signal Integrity
  921. 33:12and went straight after the supply chain
  922. 33:14in federal court. Instead of trying to
  923. 33:16detect signals coming out of people's
  924. 33:18roofs, which was impossible, DirecTV
  925. 33:20raided the warehouses and web servers of
  926. 33:22the popular online stores in the United
  927. 33:24States that sold smart card programmers,
  928. 33:27unloopers, and emulator cables. Those
  929. 33:29online shops had kept years of credit
  930. 33:31card receipts and UPS shipping
  931. 33:33addresses. Suddenly, DirecTV had a
  932. 33:35database of over 100,000 regular people,
  933. 33:38doctors, police officers, teachers,
  934. 33:41suburban dads, and college students who
  935. 33:43had ordered a smart card programmer on
  936. 33:45the internet. Even though owning a smart
  937. 33:47card reader wasn't technically illegal
  938. 33:49by itself, DirecTV mailed out over
  939. 33:51100,000 terrifying federal legal demand
  940. 33:54letters across America, threatening to
  941. 33:56sue each homeowner in federal court for
  942. 33:58tens of thousands of dollars under the
  943. 34:00Communications Act unless they signed a
  944. 34:02statement, surrendered all their
  945. 34:04satellite gear, and wrote a check to
  946. 34:05DirecTV for $3,500 on the spot. Tens of
  947. 34:09thousands of terrified people paid up
  948. 34:11immediately, netting DirecTV hundreds of
  949. 34:14millions of dollars, and scaring the
  950. 34:16casual suburban hobbyists right out of
  951. 34:18the scene.
  952. 34:19At the same time, federal prosecutors
  953. 34:21tracked down the top coders and hardware
  954. 34:23designers in the underground, giving
  955. 34:25several of them a stark choice: face
  956. 34:27federal prison time and ruinous fines,
  957. 34:29or come work for the security side to
  958. 34:31help lock down the system. And in 2004,
  959. 34:34when DirecTV rolled out their
  960. 34:35fourth-generation smart card, the period
  961. 34:38four or P4 card, the hardware inside the
  962. 34:40chip finally caught up with the
  963. 34:42cryptography. Built on a far more
  964. 34:44powerful processor architecture with
  965. 34:46layers of hardware encryption and no
  966. 34:48sneaky over-the-air holes left exposed,
  967. 34:50the P4 card and the later cards that
  968. 34:52followed was never publicly cracked.
  969. 34:55Looking back at Black Sunday and the
  970. 34:57late '90s satellite wars today, the
  971. 34:59whole era feels like something from
  972. 35:01another planet. Today, everything we
  973. 35:03watch comes through encrypted internet
  974. 35:05streams over fiber and cellular networks
  975. 35:08where every single television and phone
  976. 35:10has a two-way connection back to a giant
  977. 35:12cloud server checking your login every
  978. 35:14second. The idea that you could buy a
  979. 35:16$50 circuit board, open up a hexadecimal
  980. 35:19editor on a Windows 98 computer, and
  981. 35:21rewrite the memory on a plastic card to
  982. 35:23unlock every channel beaming down from
  983. 35:25orbit belongs to a very specific window
  984. 35:28of technology history. And if you talk
  985. 35:30to the people who were part of that
  986. 35:31scene back in 1999 or 2000, almost all
  987. 35:35of them will tell you the exact same
  988. 35:36joke about what it was actually like.
  989. 35:38They had 500 channels unlocked on their
  990. 35:40television. Every movie channel, every
  991. 35:43sports package from across the country,
  992. 35:4520 different pay-per-view movies playing
  993. 35:47every half hour, and most of them barely
  994. 35:49ever watched TV. Because the actual
  995. 35:51hobby wasn't watching movies. The hobby
  996. 35:54was the game itself. For thousands of
  997. 35:57regular people with no formal computer
  998. 35:59science background, trying to keep that
  999. 36:01little white H card alive was how they
  1000. 36:03accidentally taught themselves
  1001. 36:04electrical engineering, binary math,
  1002. 36:07soldering, and assembly code. Every
  1003. 36:09Friday night was a test to see what the
  1004. 36:11aerospace engineers in California and
  1005. 36:13Israel were going to beam down from
  1006. 36:1422,000 mi in the sky, and whether a
  1007. 36:17bunch of strangers sharing files in a
  1008. 36:19chat room could figure out the puzzle
  1009. 36:21before kickoff on Sunday afternoon. And
  1010. 36:23on January 21st, 2001, when half a
  1011. 36:26million televisions went dark at the
  1012. 36:28exact same second with the words game
  1013. 36:31over burned into their silicon, even the
  1014. 36:33hackers had to admit it was one hell of
  1015. 36:36a move.

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This page contains the full transcript of DirecTV’s Black Sunday: The Update That Killed Pirate TV Cards by Tech Meter, generated from the public captions YouTube serves with the video. The transcript has 6,432 words across 1,015 segments, with the original timestamps preserved so you can click any line to jump to that moment in the embedded player.

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