When Neo sells his illegal virtual reality programs to his customers, he shows us his stash, located in a hollowed out edition (i.e. simulated book) of Simulacra And Simulation by Jean Baudrillard the chapter is "On Nihilism"
Neo opens "Simulacra and Simulation" to the chapter "On nihilism," which has curiously been printed in the middle of the book, whereas really it is the last chapter of Baudrillard's actual book. And, also curiously, the chapter starts on the left-hand page, not the right-hand page as normal. In that chapter, Baudrillard asserts that revolution is pointless because the system that operates our hyperreal world will automatically and effortlessly neutralize it: "Everywhere, always, the system is too strong: hegemonic."
Yet, Neo has sliced into that specific chapter with a knife, cutting out its substance and inserting instead a copy of his own software. Neo is rejecting Baudrillard's message, implicitly asserting that he can and will rebel against the system in order to achieve his enlightenment or "gnosis." This is an adumbration of what is to come in Reloaded and Revolutions. For Neo will discover that the organized escape of humans from the Matrix into Zion is simply a transfer from one virtual world to another, in precisely the manner anticipated by the Architect of the Matrix. But Neo will find a way to break out of this seemingly nihilistic prison. - Ray Kurzweil