An amended class action complaint filed against Sony Computer Entertainment America this month is claiming the company removed the 'Other OS' feature from the PlayStation 3 to save money and not for security reasons. 

In March 2010, SCEA removed the Other OS feature due to "security concerns." The complaint says the statement is a "fabrication," saying SCEA gave those reasons as a pretext so it could argue the Warranty and Terms of Service allowed for the removal of the feature. 

In reality, SCEI and SCEA removed this feature because it was expensive to maintain (as they previously admitted when the feature was removed from the "slim" models – but which they conveniently removed from SCEA's website); they were losing money on every PS3 unit sold (due to poor decisions in the planning and design of the Cell chip as noted above and given the PS3's extra features); SCEA needed to promote and sell games to make their money back on the loss-leading PS3 consoles (and there was no profit in users utilizing the computer functions of the PS3); and IBM wanted to sell its expensive servers utilizing the Cell processor (users could cluster PS3s for the same purposes much less expensively). The complaint also says it's "virtually impossible" to use the 'Other OS' for piracy. 
When the 'Other OS' feature is enabled, the software prevents the proper operation of the gaming feature to avoid allowing the features to interplay. In order for a hacker to pirate a game, it is necessary to perfectly emulate the operating system for which the game is designed, including the API, which is the interface for the game OS that supports all of the features of a game. 

However, when the Other OS is in use, the API and other hardware features are blocked, including the graphics chip in the PS3, which makes it impossible to run a pirated game on the Other OS. As of January 2011, Sony had yet to identify a single instance in which someone used the Other OS to pirate protected content. Last month, the court dismissed all but one claim from the original complaint filed in April 2010. The judge still allowed the plaintiff's "Computer Fraud and Abuse Act" claim because Sony could not show that its use of the firmware update to remove the 'Other OS' feature was authorized. 

"Sony's actions are like a car manufacturer telling a buyer that it is going to remove the engine because it does not want to service the part anymore and then telling the consumer, 'tough luck, we are not going to give you a refund,'" said Co-Lead counsel James Pizzirusso of Hausfeld in a statement. 

"This type of activity is exactly what our country's consumer protection laws were designed to protect against." 

SCEA has until this Monday, March 28 to issue a response. A copy of the amended complaint can be seen here. 

http://ps3.ign.com/articles/115/1157475p1.html

Why would Sony be losing money on the OS feature when they took it out for the Slim? That makes no sense.

They had to update the hypervisors to continue to be compatible and they had a team that worked exclusively with linux. Of course it's going to cost them an arm and a leg to continue supporting it

From what your own source implies, it seems they didn't want people to continue buying PS3s that had no intentions of buying games/accessories for them.

I can understand that mentatlity back when they were losing money on each PS3 sold (up until early 2010, I believe), but now that'd only mean they're losing money.

I love how they compare removing Other OS with removing the engine from a car.  A little exaggerated, eh guys?

Yeah just a little,  a PS3 will run without Other OS,  a car without an engine will only move when on a hill.

I understand it was left out of the slim to save a few dimes but hard to believe that was the same reason to remove it from the discontinued original ps3s. They could simply have stopped updating the drivers.

Wasn't there a security loophole in that linux was used to get to encrypted keys or something?

How was anyone running a ps3 server farm forced to install that update?

well who is complaining?  i mean if these are people that are NOT using it for games but only stuff that NEEDS the OS then yea it is broken then.

Bringing up car again.  You got a homeless guy sleeping in a car, take the engine out or not don't matter to him.  he isn't using the engine.  Some of these people complaining may not be using the ps3 for anything but the OS.

And they have nothing to worry about because they wouldnt be updating their PS3 anyway, your arguement is invalid. 

People using their PS3 solely for Linux had the option to not install the latest firmware that removed the Other OS feature.