Interesting read, though I doubt Sony will install Android on the PS3. All the utilities used by games not to mention the architechture of the hardware means it would be very difficult to replace the current system software.
Its all software. No hardware changes, thus it will be capable with remaining fully functional with all PS3 software to date. Additionally, it will add the Android functionality; hopefully including a far better browser.
This is similar to when X360 dramatically changed its UI last year.