I think thats the point of HDLoader. Modchips are no longer worth anything unless you want to play backups. Of course, I'm not sure if HDLoader will allow backups or not either. Also, if a CD is required, than having a modchip would not have any benefit over HDLoader itself. More than likely any software made for the PS2 is gonna be run through a CD loading program like HDLoader. So, someone could make some video software, burn it to a dvd or cd, use HDLoader to copy it to the harddrive and run it from there. Could work.
KingViper