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Some information was derived from the work on other sites (wiibrew.org, hackmii.com, gbatemp.net, ...), so thank them if it helped!
Also note that this only gives a basic explanation, to find out more about all of this, you'll have to search the web.
Action Replay -- Device created by Datel. Allows you to "cheat" in a game by altering the values of certain variables that are stored in the memory.
AHBPROT -- See HW_AHBPROT
Alpha -- The very first stage software gets when being developed. After this state, the software becomes beta.
Alt DOL -- All Wii games contain a main.dol which is loaded when starting the game. Some games, however, have multiple DOL files which are needed at different points. These are referred to as alternate DOLs. The method used for loading them is also called the Alt DOL method.
App (Application) -- A wii homebrew program. Usually a .dol or .elf file. Not to confuse with .app files.
ARM -- Co-Processor of the Wii. Can be found in the Hollywood.
Backup – A copy of a piece of software that can be used in case something happens with the original. Here used to describe (sometimes illegally) copied Wii games or NAND backups.
Backup launcher (backup loader) – A program that can launch backups by using a cIOS. USB loaders are also backup launchers.
Bad dump -- Something has gone wrong when dumping the game, which created an invalid dump of the game.
Banner – The graphics of a channel on the Wii. An incorrect size of banner causes a banner brick.
Banner Brick – A state where the Wii system menu can’t be used as it fails to load an incorrectly sized or corrupt banner (of a Wii channel).
Bannerbomb – An exploit that uses a bad banner to crash the wii so it runs a dol or elf file.
Base WAD -- Some installers patch a certain wad to install something on the Wii. The wad that is patched is called the base wad.
BC – A piece of software that is used when launching a GameCube game. It lowers the clock speed as GC games don’t use the full speed of the Wii. It is capable of loading boot2.
Beta – Software that is still incomplete has the Beta status. If the software is in very early development, this is called Alpha.
Block – One block is equal to 128kb on the Wii.
Bluetooth – An open wireless protocol for exchanging data. The Wii remote uses this to contact the Wii. You can also use it to connect a WiiMote to your computer, if you have the correct software.
boot0 – The first stage of the Wii boot process. Loads boot1 and activates hardware.
boot1 – The second step of the Wii boot process which loads boot2. Like boot0, boot1 cannot be overwritten without breaking the boot process.
boot2 – The 3th stage of the Wii booting process (after boot0 and boot1). It is responsible for booting the System Menu (It also loads the MIOS if the Wii enters GameCube mode).
BootMii boot2 (BootMii-ppc) – A modification of boot2 made by team twiizers. It is mainly used for brick protection.
BootMii IOS - It is possible to install BootMii as IOS. This gives you no brick protection as it is booted with the system menu. BootMii IOS can create or restore NAND backups, but restoring without BootMii boot2 is not recommended.
Brick – This is when the console is damaged (Hardware or Software) and can’t be used in full. Some software bricks can be restored.
Broadway – Codename for the primary PowerPC processor of the Wii.
Burst Cutting Area (BCA) – The inner ring that can be found on any Wii disc. Since there are no DVD burners that can burn the BCA, it is used by the Wii to check if the game is legit.
C – A programming language that served as a basis for many other languages (C++, Java, ...). Some Wii apps are coded in this language.
C++ – Literally C +1 (++ means +1 in coding language), the "next version" of the C language.
C# – (read: C sharp) Another step up from C++ (note that the # looks like 4 + symbols, so it is basically C++++, or C +2). Less commonly used in the Wii world since it relies on the .NET framework.
Case Mod – This term is used for Wiis that have a replaced casing (the outer shell of the Wii itself). This is not the same as a Hardmod!
cBOOT2 – A custom version of boot2 made by Wiigator (it is NOT installed as boot2). Its purpose is to start a patched IOS without installing using BootMii loader (the original BootMii doesn't support to modify the file system)
Channel – Basically an application installed on the Wii that has a visible banner in the Wii Menu. Some channels can be hidden, however.
cIOS – A custom version of an IOS, used by Homebrew apps (like Backup launchers). Semi-overshadowed by the newer AHBPROT method.
cIOSPAGHETTI – An error that is produced by some homebrew applications if they try to run or install while their required IOS has been replaced by a cIOS. Due to security reasons, these applications will refuse to work in this situation. Can be fixed by re-installing the official IOS required by the application.
CLI -- Command Line Interface. A CLI program has to be used through the command prompt or terminal.
cMIOS – Custom version of the MIOS, used to run Gamecube Backups. Some MIOS installers give you the possibility to add Disc Channel support.
Code dump – When the software crashes, it shows the rest of the code as seemingly random numbers and text for people that know nothing about it.
Compiler – A program that turns higher programming language in a language that can be used by machines.
DARKCORP (formerly cIOSCORP) – Application that patches most IOSs on your system to be able to run Disc backups from the Disc channel.
Disc Channel – The main channel of the Wii. Of course you use this to play game discs. This channel is also different from other channels in some ways: it cannot be moved (without using homebrew) and the banner changes to the opening.bnr of a game once its loaded. Unlike all other channels, this is NOT a title (so it can never be removed by AnyTitle Deleter)
DOL – The main format for GameCube and Wii executable files. Basically like an exe is for Windows computers. Possibly stands for "Dolphin", the GameCube's pre-release code name.
DVD – Digital Versatile Disc. Earlier models of Wiis are capable of reading DVDs. Newer models have a so called D3-2 drive, which can not read them.
DVDx – A homebrew application that installs a hidden "channel" which can be used by other homebrew applications to access home burned and factory pressed DVD content without the need for a modchip. It was later found out that it allows you to use HW_AHBPROT, thus granting direct access to ALL Hardware on the Wii through the PPC. Obsolete as of HBC v1.0.7
ELF – Executable and Linking Format. A standard Wii homebrew format and a fairly standard executable format in general. Some homebrew is written in this format although most use Nintendo's dol format instead.
Emulator – A program that simulates the features (and hardware) of another kind of computer system (in this case a gaming console).
ES (-Module) – E-Ticket Services. Responsible for the Security of the Wii.
ES_Indentify (ES_DiVerify) – An important ES function that can be used to trick titles into thinking you have another title (unique identifier) than you actually have.
Exploit – An exploit is a piece of software, a chunk of data, or sequence of commands that take advantage of a bug, glitch or vulnerability in order to cause unintended or unanticipated behavior to occur on computer software, hardware, or something electronic (usually computerised).
FakeSign Bug (Trucha bug, Signing bug, Strncmp bug) – A bug present in early versions of IOS that can be used to fake the digital signature (which is used to see if it is allowed by Nintendo), thus allowing you to run unauthorized code. This bug was later patched out by Nintendo, but can be restored through cIOS installation.
Firmware – Code that is written for a programmable chip. The Wii System menu is NO firmware.
Forwarder Channel -- A channel that loads a certain application on the SD card or USB device, rather than having one build-in.
FS (-Module) -- File System.
Full Brick – A state where the Wii system menu can’t be accessed at all. Common full bricks are banner bricks and installations of bad themes. Unless you have Priiloader or BootMii as boot2, the Wii cannot recover from this state (unless you have a NAND reprogrammer).
GameCube – The predecessor of the Wii, with the form of a cube. The Wii can play all games of the GameCube (this is called backwards compatibility)
GameCube Mode (GC Mode) – A special mode that the Wii uses when playing GameCube games. In GameCube mode, all additional Wii hardware is disabled, basically turning it in a GameCube.
GPU – Graphical Process Unit
GUI – Graphical User Interface, basically means there is more than just text on the screen. Contrast to CLI.
Hardmod -- Short for "Hardware Modification". Wiis that are hardmodded are opened physically to build in a Modchip. The opposite of hardmodding is softmodding.
HD -- High Definition, something the Wii doesn't have.
HDD -- Hard Disc Drive
Hollywood – The codename for the Wii’s graphics chip.
Homebrew – Unofficial software for a system that is created by the users of the system, without input from the authors of the system. Homebrew serves as basis for Softmodding.
Homebrew Channel (HBC) – A channel that can be installed on the Nintendo Wii to launch Homebrew.
Home menu -- The little menu that you see after pressing the home button. You can see the battery status here, re-sync the Wii remotes and return to the Wii Menu or Title screen of a game. Once a game is loaded, the home menu is loaded from the game disc, and not the Wii NAND, meaning any game could theoretically have its own Home menu.
HW_AHBPROT -- Hardware Advanced High-performance Bus Protection. A flag that determines whether AHB protection is enabled or not. By disabling the protection, you can get direct access to all hardware on the console, rather than having to go through IOS (which normally handles the hardware for you).
Hybrid Channel -- A combination of a Forwarder and normal Channel. It first tries to load an application on a specific location, but when it fails, it loads the build-in dol.
InFeCtuS -- A hardware chip that can be installed in your Wii. It has the capability to flash your NAND (useful for Bricks).
Injection - An old game that wasn't released for VC yet can be injected (inserted) in another VC channel. Like this, the Wii thinks its one game, but boots the other.
ioctl -- Input/Output Control, found in IOS and are used to control hardware.
IOS – Input/Output System. These are used for many things on the Wii. Many people confuse this term with ISO (which is not the same)
IRC -- Internet Relay Chat. A form of direct communication, like Skype.
ISO -- Burnable disc image. All Wii games are in this format when ripped.
LAN – Local Area Network. A network of computers or devices in a limited area. Often connected to the internet.
LU64+ -- Used to describe Wii consoles with a serial number that starts with "LU64" or higher. Read more about it here.
Mii channel -- This channel allows you to create your own "Avatars" (called Miis), which are used in some games, like Wii sports. It is possible to bring your Miis to someone else's Wii by storing them in the limited storage of a Wii Remote.
Note: If you press A, B, 1 and then hold 2, you will see a new button to send Miis to your DSi (only used in one game at the moment).
MINI -- A very small piece of code that fits in a single block on the Wii. It can be seen as a very limited replacement for an IOS, though it is not the same as an IOS. It is used by BootMii.
MIOS – Modular IOS (acronym unconfirmed). Special type of IOS that is used for GameCube games.
Modchip – A hardware modification for a console to run backups without additional software.
Motion Sensors -- The Wii remote and Nunchuck have these build-in to detect movement.
MPlayer – A media player that can load movies from Disc and USB. Surpassed by WiiMC.
Multiplayer -- If there are two or more players, this is called multiplayer. Depending on the game, this can be turn-based or split screened.
NAND – Internal Memory of the Wii.
News Channel -- Use this channel to view recent news from everywhere in the world. If you can catch the black cat on the loading screen, she will give you a hint. The channel is now discontinued.
Nintendo – A multinational corporation that produces games and gaming consoles.
Nintendo Channel -- A channel that can be downloaded from the Shop channel. This channel allows you to view demo movies of games and to rate games. Many people disabled
NTSC – National Television System Committee. Symbolizes the USA (NTSC-U) and Japan (NTSC-J) regions for Wii.
Nunchuck -- An attachment for the Wiimote that is shipped with every Wii (but not every Wii remote). It has a Control stick, c and Z buttons and build-in motion sensors (not as good as the ones in the Wiimote).
NUS – Nintendo Update Server. All files from Nintendo (like System menus and IOS) are stored here. The Wii will connect to NUS when performing a System Update. You can download everything from NUS with the NUS Downloader on your PC.
Ocarina -- Allows you to use cheat codes in games.
Opera – A web browser, like Internet Explorer, Chrome and Firefox. The Wii web browser uses Opera Software.
PAL – Phase Alternation Line. A television color encoding system that is used in a large part of the world. One of the main Wii "regions" (known as the PAL region).
Peripherals -- The types of controllers and accessories that are used in a game.
Photo Channel -- This channel does as it says: it shows the pictures on the SD card or Wii Message Board. It also has the ability to edit the pictures or to view them in a slideshow. This channel got one update, version 1.1, with some minor improvements (like the ability to use a photo as the banner of the channel). MP3 is no longer supported in version 1.1 (it got replaced by the way less user-friendly AAC).
Piracy – Illegally acquiring copyrighted software (Wii games, Virtual Console, ...) by downloading them for free on the internet.
PPC -- PowerPC, one of the processors of the Wii.
Priiloader -- An application that moves the system menu to another place and then puts itself in the empty spot. This allows the app to run before the system menu does.
RC -- Release Candidate. Possible final version of software.
Rev -- Revision. One version of the app, usually not the final version.
Revolution -- Development name for the Wii. This is where the RVL in all titles and hardware comes from.
Ret -- Return value. The "result" that a function call gives back in a program.
Ripping -- The act of extracting data from a disc.
Rumble Feature (Force Feedback) -- Many controllers have a little motor inside that starts to Vibrate at certain points. This is called the Rumble Feature.
ROM – Read Only Memory. As the name suggests, data on ROM can not be rewritten.
RW -- ReWritable. Discs with this property can be overwritten multiple times.
Savemii -- A little chip that can be installed in your Wii to recover from bricks. Something similar can be done with Savemiifrii (which, in contrary to savemii, is free).
Savemiifrii -- A trick that can be used on any wii to recover from bricks. The only requirement is that the System menu and its (non-stubbed) IOS must be present. To activate it, you need to push and hold down all 4 directions of the 4th Gamecube controller (to do this, you need to open up the controller). If it worked, it can boot any disc for you (so if you have no modchip or DARKCORP, this trick is basically useless). The savemiifrii menu is also called the recovery menu from time to time.
Scrubbed ISO -- Someone used WiiScrubber with this ISO to remove the Update partition and/or garbage data from the ISO. These ISO files will take less space when they are compressed into a rar file.
SD(HC) Card – A type of memory card that can be used by the Wii. Since system menu version 3.4, it also supports high capacity cards (although Homebrew had SDHC support before the release of 3.4).
SD Card Menu -- A special menu added to the Wii system menu (4.0 and up) that lets you load channels from an SD card. It can be accessed by clicking the SD card icon in the Wii menu.
Semi-Brick – A state where the Wii is bricked, but not completely. Most often, this means the settings won't work (eg. Opera error screen).
Sensor Bar -- The black bar that has to be connected to the Wii. In reality, its no more than a box with IR LEDs. The only reason it connects to the Wii is to get power for those LEDs. The actual sensing is done by the Wiimotes.
Shop Channel -- This channel is installed on any Wii by default. It allows you to download new channels on your Wii. Since system menu 4.0, you can also download the channels directly to an SD card. It is possible to send a channel to someone else as gift. If you do this, the other person will have the channel, but you get nothing in return.
Single Player -- This is when you play alone. Many games have a story mode that can only be played when in Single Player mode.
SNEEK -- SD NAND/ES Emulation Kit. Allows you to run your Wii from an SD card instead of the actual NAND.
Softmod -- Short for "Software modification". Softmodding uses Homebrew to run fakesigned (unofficial) content on the Wii, without having to install a modchip.
Starlet – A codename by homebrew devs for the ARM co-processor in the Hollywood. The software it uses is called IOS.
Stub IOS -- An IOS that has almost no code and which can't be used by anything. Stub IOS are installed as Piracy prevention or when the IOS version is no longer used. If a certain program relies on an IOS that is now a stub, that program will not work (In case of the System menu it will cause a full brick).
System Menu -- The main interface of the Wii, which appears after the Health Screen.
Ticket – An en/decryption key to read a certain title it belongs to. Without the ticket, you can not use the title that needs it. If you remove a channel with the channel management, it will not delete the Ticket. This is why VC/WW games can be deleted and re-installed with the Shop Channel.
Title – A title can refer to a Wii game or channel or system title. It always has an unique titleID. The data is encrypted for security and can only be decrypted with the ticket.
UNEEK -- Same as SNEEK, just for USB instead of SD.
USB – Universal Serial Bus. The Wii has two USB 2.0 ports on the backside.
USB Loader – A backup launcher with the ability to load games from a USB device. They need no more software than other backup launchers, but of course they do need a USB device.
Virtual Console (VC) – A service of Nintendo to allow you to download and play games from older consoles. In reality, VC games are no more than an emulator for a single game.
WAD – A package of software that can be installed on the Wii.
WBFS – Wii Backup File System. An old file system that was used by USB loaders. Nowdays, FAT32 and NTFS are used instead.
Weather Channel (Forecast Channel) -- In this channel, you can view the current weather as well as the predictions for the next week from everywhere on the World. Needs WiiConnect24 to work. This channel was discontinued by Nintendo.
WFC -- WiFi Connection, the online service from Nintendo. The games with a Blue WFC logo make use of it, but it can be used outside games too. Some games have a red WFC logo, meaning you have to pay for the WiFi.
Wii – Nintendo’s popular console which introduced motion sensing technology to video games.
WiiConnect24 -- If you enable this on your Wii, it will be connected to the internet all day (24 hours) unless you disable Standby internet. Some channels need to have this activated before they will work. Unlike most people think, Nintendo will not update your Wii in the night if you leave this on. Its only purpose is to get some data for the weather and news channels and some download-able content for games.
WiiGSC (Formerly CrapWii) -- Wii Game Shortcut Creator. Tool that creates shortcut channels to specific Wii games so they can be loaded from the Wii menu instead of a USB loader.
WiiMote (Wii remote) -- The main controller of the Wii. It has the form of a TV remote (hence the name, rather than being called controller). It uses motion sensing technology to detect movement.
WiiMotion Plus -- An expansion for the WiiMote that gives it 1:1 accuracy. Unlike other add-ons, the WiiMotion plus can be used in combination with other Add-ons (as it has another extension port on the back). The first game to use this add-on was Wii Sports Resort.
Wii Optical Disc (WOD) -- The retail Wii game discs are called like this. Only a very limited selection of LG drives can actually read the discs. WODs are pressed rather than burned and feature a Burst Cutting Area (for making the Wii know its an official disc).
WiiU -- Nintendo's next generation console following the regular Wii. Most notable feature is the special gamepad controller.
WiiU Gamepad -- A tablet-like controller that serves as the main controller for the WiiU.
WiiU Pro Controller -- More traditional controller for the WiiU. Some Wii homebrew applications, like Nintendont, support this controller.
WiiWare (WW) – Games that can be downloaded an played on the Wii, but unlike VC games, WiiWare games are designed for the Wii.