I don't believe that in the slightest. Sure, you do have to usually run some homebrew code to be able to play ripped copies of retail games but how big is the homebrew game and app market (other than XBMC for Xbox) that people would opt for that and not pirated games? Being able to compile code for a game console is usually (excluding XDK for the old Xbox) much more difficult than obtaining ripped retail games. Every modded console I ever saw in-person had a hardrive or stack of discs of pirated games. Games are pretty expensive and are a luxury in many parts of the world so there's a massive motive behind being able to run region-free pirated games on consoles. This argument is like saying that most people with torrent clients only download Linux ISOs and creative Commons licensed content. If the ability to pirate content is there, most people are going to do it.