This is a flagrant violation of consumer rights to a severe degree.

Watching youtube vids makes you a criminal!

Sony is going to get their ass handed to them on appeal so bad it'll make their heads spin

They are excercising their rights to use the device that they bought and legally own (despite whatever "licensing" horseshit Sony likes to spew) they are in the right, Sony is so insanely in the wrong. Legally. Period. No debate.

Are you really hell bent on the conspiracy that this case is going to collapse all form of the first amendment and kick us all in line so we can never enjoy our own privacy?

You are correct Mr khan, if he would keep his information to himself or at least block a way from piracy. Because he did none of that, Sony has a case. If they can prove that his Encyrption code caused all the hacks and modding and piracy we have now, then well Geohotz might be in trouble.

legal precedent, people. While the "slippery slope" mentality is somewhat foolish in other realms of politics, it is a very real phenomenon in jurisprudence. One crack in a statute opens up a whole world for opponents of that statute (whether that's a good thing or a bad thing) to just go hog-wild.

lol you are blowing this out of proportion here. They got these IP addresses to see who watches these videos and from where. The latter would be to prove that the majority is from California where Sony wants the case to be held. The former is then to see if that IP address has a PS3 and from there they can tell if you have the homebrew or have pirated.

In no way, shape, or form has Sony stated you are a criminal for watching youtube.

not period. The licensing thing is not horseshit. That could be the key to Sony being in the right,but I never read those things,so I would'nt now. Are you a lawyer? Do you know all of the lawyer/legal speak? Do you know how a judge is going to rule? Do you know what's going on behind the scenes? I don't know who's in the right are the wrong and I do think it's up for debate in my humbled opinion. 

And why not be able to hit people with a large net? You don't think Sony's legal division will take this opportunity to encourage an addendum to the EULA that states that if you view this content, they know who you are and can pursue legal action?

This case, besides serving as a way for Sony to try and reap havock on the hacking community, is a step in the right direction. Hopefully following this we can finally have someone step up and abolish the gray area around all that is hacking, jailbreaking, pirating, distributing, etc.

It doesn't say anywhere that watching a youtube vid makes you a criminal. They asked for the IPs so that they can conduct their investigation.

And IIRC the ToS is legally binding, and therefore cracking the ps3 is suable.