Makes sense to me.

Besides, what were the advantages to installing another OS?  

I don't know what kinds of homebrew applications exist for the PS3 (on the Wii there are some quite cool ones, such as WiiQuake).

As far as I'm concerned, the point of installing Linux was to make a few experiments with development on the Cell.

Thanks NJ5, I didnt know that.

Installing Linux allowed you to turn it into a pretty decent emulator box for all those retro systems for one. I have a fat PS3 so this doesn't bother me but I'd be pretty miffed if I bought the slim expecting this feature only to find it was pulled later on.

Experiments which went absoluted nowhere.

Actually that does sound pretty sweet.  I prolly wouldnt bother with it though, Im too lazy.

Mmmm not really... It should be quite fast and easier to program than a GPU for general algorithms, so it has its usefulness. There are a few research projects where clusters of PS3s were used quite effectively.

I don't know the circles you walk in socially but friends I have that love the PS3 often state that installing Linux is a great facility and shows Sony don't want to take over their system like Microsoft.  This is a big "one up" feature I hear about and I'm sure over the last few years non PS3 owners have been told about this feature a fair few times and hence might expect it when they buy.  I'm not saying it will be a huge number of people, I was just stating the obvious that some people will be miffed by this if they don't know the feature has been dropped.

I fail to see why such a niche feature needed dropping in the first place if nobody ever uses it supposedly. 

I bet over 95% of people who get the ps3 won't be buying it for the linux?

atleast I don't have any need to use it as nothing more than a gaming console and blu-ray player and I have never heard of anyone ever using linux on the console (expect here on the forums).

lol, i still prefer it's not shiny anymore excuse.