Gnizmo on 03 October 2010
I'd say it is more logistically infeasible rather than technically. The PS3 probably could run some form of PS2 emulator, but it would take too long to develop. The PS2 is a funny machine in a couple of ways leading to big issues in reproducing its hardware exactly. There just isn't enough potential money to off-set the guaranteed loss of developer time and thus money from other projects.
