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The primary hacker ultimately was located in Germany who admitted hacking into Valve's server but denying the distribution of the code. Investigations are continuing at this time, according to Newell.
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Last month, the thieves were arrested in Germany and other undisclosed countries.
Having accessed Valve's server through a security-bypassing loophole in Windows, the hackers were able to download an early and hugely incomplete version of Half-Life 2 and post it on the internet for downloading via Usenet. A boxed version of the code was even on sale on the Ukrainian and Russian black markets.
"Once into our network, hacking tools were installed, and a custom source control client created to extract the Half-Life 2 code,"
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