From what I gather, piracy isn't a huge deal except on the DS + PSP. The handhelds have it worse, as I don't believe any hardware modification is necessary, and games are much smaller.
Honestly, game size is always one of the big things to stop piracy. Even, theoretically, PS3s were easy to pirate on, and everyone and their mum had a BD-R burner, I still have a hard time seeing people downloading 50GB ISOs of MGS4, at the present time, especially with many ISPs starting to cap transfer.












