I use "monetize" as a superset of "sell", in that "sell" is usually taken to imply a direct payment by the end user, whereas "monetize" also provides for indirect payments like ad views.
You are allowed to decide not to give my application permission to access the internet; the Android Market actually forces you to review the permissions my app requests before allowing installation. The piracy here is that the Cyanogen mod pretends to give internet access, but lies to my application (by lying to the app and pretending that the internet is just unavailable for the moment.)
It's not lying. The Internet is unavailable to your app, and it tells your app that. Now, it may be unavailable because the user said, "make the Internet unavailable" instead of being unavailable because the phone is inside a tunnel... but the end result is the same. An action the user took caused your app to be unable to contact the Internet. If this is a problem, pop a dialog saying, "hey, get out of that tunnel if you want to play my game."
The "permissions" that a user gives to the device say that the app has permission to use the Internet. The permission does not make the Internet magically 100% available. It may well never be available. All you're getting is permission to use the Internet if the Internet happens to exist.
Anyway, I know you're trolling, and that's fine. Because your opinion doesn't matter: it's my phone, my internet connection, and my open-source firmware. Your software is an invited guest. If you don't want your app to run on my phone, don't let it get on my phone. Once you've done that, it's mine to take with me into tunnels (virtual or otherwise) whenever the fuck I want, and there's not a thing in the world you can do to stop me. My house, my rules, so fuck you. Hahahaha!
Maybe I misunderstood the post, but I believe that you can't fake internet access permission. The way I read it is that the data you were supposed to be able to fake was stuff like phone serial number.
As for the "piracy" argument, the line is, as always, blurry. I guess that I could agree to calling it "piracy" if your app somehow verifies whether you have access to a resource on a server and shuts down if you don't, thus preventing me from using your app if I don't "pay" by displaying ads. The fact that I dislike that practice doesn't mean that circumventing it should not be called piracy.
You are allowed to decide not to give my application permission to access the internet; the Android Market actually forces you to review the permissions my app requests before allowing installation. The piracy here is that the Cyanogen mod pretends to give internet access, but lies to my application (by lying to the app and pretending that the internet is just unavailable for the moment.)