Regarding the geohot thing, what the article fails to acknowledge is that Sony is the 'Maker' here, not geohot.
Whether or not there is any legal ground for Sony is imho a bit irrelevant (who thinks the law is always fair anyway?). Even if Sony's agressive stance is smart or not is besides the point.
I feel they have the right to protect their investment, which geohot and the likes are jeopardizing. Sony has been selling their platform under cost price so that customers can afford the thing, meaning to recoup the investment by software. This investment created jobs for god knows how many people developing the platform & the content. That is why the PS3 is a closed platform. Personally I think that's a pretty compelling reason.
If geohot seriously thinks his 'efforts to avoid piracy' are enough than he's really one arrogant (or perhaps just thick and ignorant) kid. Who says his 'efforts' can not be worked around? Did he avoid a PS emulator to be ported? (Sony still sells PS1 games, mind you, so he has actually still opened the door to piracy in a way)
He distributed tools to break security, and that directly jeopardizes the bread and butter of a lot of people. So geohot, is your little hobby worth that? The industry is under enough pressure as it is, so I'd rather see him excercise his skills in a more meaningful way.
My 2cts