1. The DVD drive is region coded, and has been region changed the max times, so I can only play half of my DVD collection in it.
You should be able to play any DVD with VLC. The region-code is just a flag that Apple's software pays attention to. (Unless it's enforced by hardware now, which would be insane but not surprising.)
It's hardware. The crappy Matsushita drive won't release any data unless the region code matches the code the drive has locked to.
No firmware replacements either.
It's just so ironic that I can burn it to a new DVD as region free, and it'll play fine!
edit: someone downmodded me for stating fact ;) fun fun fun
You should be able to play any DVD with VLC. The region-code is just a flag that Apple's software pays attention to. (Unless it's enforced by hardware now, which would be insane but not surprising.)