In early 1996, Electron moved into his own flat with his steady girlfriend, who studies dance and who also successfully overcame mental illness after a long, hard struggle. Electron began another university course in a philosophy-related field. This time university life agreed with him, and his first semester transcript showed honours grades in every class. He is considering moving to Sydney for further studies.

Electron worked off his 300 hours of community service by painting walls and doing minor handyman work at a local primary school. Among the small projects the school asked him to complete was the construction of a retaining wall. He designed and dug, measured and fortified. As he finished off the last of his court-ordered community service hours on the wall, he discovered that he was rather proud of his creation. Even now, once in a while, he drives past the school and looks at the wall.

It is still standing.

There are still hacking cases in Australia. About the same time as Mendax's case was being heard in Victoria, The Crawler pleaded guilty to 23 indictable offences and thirteen summary offences—all hacking related charges—in Brisbane District Court. On 20 December 1996, the 21-year-old Queenslander was given a three-year suspended prison sentence, ordered to pay $5000 in reparations to various organisations, and made to forfeit his modem and two computers. The first few waves of hackers may have come and gone, but hacking is far from dead. It is merely less visible.

Law enforcement agencies and the judiciaries of several countries have tried to send a message to the next generation of would-be hackers. The message is this: Don't hack.

But the next generation of elite hackers and phreakers have heard a very different message, a message which says: Don't get caught.

The principle of deterrence has not worked with hackers at this level. I'm not talking here about the codes-kids—the teeny-bopper, carding, wanna-be nappies who hang out on IRC (Internet relay chat). I'm talking about the elite hackers. If anything, law enforcement crackdowns have not only pushed them further underground, they have encouraged hackers to become more sophisticated than ever before in the way they protect themselves. Adversity is the mother of invention.

When police officers march through the front door of a hacker's home today, they may be better prepared than their predecessors, but they will also be facing bigger hurdles. Today, top hackers encrypt everything sensitive. The data on their hard drives, their live data connections, even their voice conversations.

So, if hackers are still hacking, who are their targets?

It is a broad field. Any type of network provider—X.25, cellular phone or large Internet provider. Computer vendors—the manufacturers of software and hardware, routers, gateways, firewalls or phone switches. Military institutions, governments and banks seem to be a little less fashionable these days, though there are still plenty of attacks on these sorts of sites.