Rookie-
I'm not sure where in the warranty this is stated, but I pulled this from the GM Tech Bulliten....
Caution: Customers should be informed if a hard part failure is observed in the engine, transmission, transfer case and/or other driveline components, it is likely that powertrain components were weakened to the point of premature failure, while subjected to the higher stresses from Aftermarket Power-Up Devices. Failures associated with the installation of Aftermarket Power-Up Devices, which have been verified, are not covered under the terms of the New Vehicle Warranty.
General Motors Position On Aftermarket Power-Up Devices
Important: General Motors does not support or endorse the use of devices or modifications that, when installed, increase the engine horsepower and torque. Refer to Service Bulletin Number 04-06-04-054A or newer - Warranty Admin. -- Non-GM Parts and Accessories (Aftermarket).
Important: For further information on aftermarket power-up kits, refer to February 2006 Emerging Issues Course Number 10206.02D. In Canada, information on aftermarket power-up kits was covered in the April 2006 TAC TALK program.
Aftermarket power-up devices are non-approved by General Motors. These devices are usually piggy-backed in the main engine harness or remain connected to the diagnostic connector to upload the calibration to the ECM. Recent warranty reviews of returned engines show engine breakdown or non-function due to power-up devices that are utilized for increased horsepower and torque. The following information will assist technicians in identifying overpower engine breakdown or non-function due to aftermarket power-up devices vs. non overpower engine breakdown or non-function.
Non-GM parts can alter the design of the vehicle. GM dealers need to be aware of the quality of parts being installed on vehicles. If failure occurs as a result of installation of sub-par parts, warranty coverage may be denied. Refer to Service Bulletin Number 04-06-04-054A or newer - Warranty Admin. -- Non-GM Parts and Accessories (Aftermarket).
Now I know it states the failure must be verified to be caused by the aftermarket device. But trust me, if it's there and they know it's there; you'll be the one having to prove it didn't cause the failure. That can/will cost you lots of money. We as dealers used to have a lot of leaway in the coverage of these failures. Unfortunately as of late, our hands are tied if the evidence is there against you in a major failure.
We've got to the point where we will not sell or install any of the programmers, just to cover our own butts. Just know all the mnfg's are cracking down on this to rightfully reduce warrranty costs.