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It simulates the changing of video modes. Say while the Xbox is running, you remove the standard A/V cable and plug in the HiDef pack, it will reboot the xbox into the new mode. With this reset mod, it grounds the pin at the A/V connector on the MB, making it think that a new type of connector was installed and it reboots. I don't think this should harm anything, that is my personal opinion though, I am not an electronics genius.
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