stiak on 26 January 2010
Doesn't seem like it's even close to compromising the ps3.
This comment discusses someone elses opinion of the 'hack':
http://geohotps3.blogspot.com/2010/01/heres-your-silver-platter.html?showComment=1264554731283#c2320007638089650718
This article discusses the PS3's security:
http://www.ibm.com/developerworks/power/library/pa-cellsecurity/#N10097
Put simply, this exploit is in software. The PS3's processor was designed with this kind of exploit in mind and prevents them having any effect. I don't see this leading to pirated games.
