This is bad news for Sony IF this is true.
But good news for the consumer, somewhat.
Even though some blu ray games are huge (25 GB or whatever).
I don't think pirates would have to buy a blu ray burner because of how Sony made their console. Some people are saying $200 some odd dollars for a blu ray burner and $3-5 for a blank blu ray disc. Well I say all you need is a moderate internet connection and an external hard drive. There are ways to transfer data such as movies, themes, and such to your PS3 from your computer, so why not the same with pirated games?

I'm kind of looking forward to this (not in a good or bad way just qrious) and see how it ends up. It's probably fake, probably not.
Only time will tell.

I'm calling bullshit until I see evidence, I don't care who is claiming they've done it or what they have hacked before. Given that he showed no restraint when he hacked the iphone, his sudden restraint in showing the hack now seems odd. I see it as more this guy had his 20 minutes of glory with the iphone hack, and now thats all been forgotten and he's trying to get back into the limelight again, only this time he's relying on his name to convince people rather than any actual evidence.

If he is worried about Sony combating his hack, what harm would a simple video of the hack running do? I mean, if he's gained full control of the PS3 and has control of the hypervisor, surely he could display it in such a way as to show he has control without showing anything more, a PS3 with a blinking cursor would do.

impurity, the only thing the PS3 doesn't already had out of your list is emulators, which you can run in linux anyway on all non-slim PS3's.

Yep I'm going to need a little more evidence than mere words...

Why does everyone keep talking about Blu-Ray burners? What if the hack allows you to save a game straight to the hdd? That would be practical especially since you can put a huge hdd in the PS3. A 1TB HDD could hold quite a few games couldn't it? If that is the case it probably would spike hardware sales an drop software sales a bit. Especially when it comes to big name exclusives.

for all we know it may not even be the real GEO!

and also

BD-JAVA was used to emulate without sound of course  super Nintendo roms on the PS3 but it never had access to the Hypervisor which 2 years straight hacker's tryed everything from brute force attack's, to a number of other type of hacking attempts.

the PS3's security is pretty much like fortnox, not only software and it has dedicated hardware security protecting that HYPERVISOR I am like you I see this as pretty far fetched, because when geo hacked the IPHONE he was pretty d@mn forward in his feat. but this is kind of just a whisper not like the firecracker he let off with the Iphone hack.

something about this boast just does not seem very legit right now.

Wow, if this isnt BS, I give him props. I certainly didn't see this coming.

it wont work, sony will find out put out a new firm ware brick it to a point that the users need to buy a new console.

However, even with LV1, the beauty of the Cell's security is the Isolated SPU mode, which keeps code out of main memory, and it isolates itself totally - so it "in theory" can not be dumped, which is of course, where all the goodies are (keys, keys, keys)

also:

v0 (bootloader) just takes a tiny bit of code, pushes it to the cell to start the bringup and lv1 doesn't do any crypto, it just sends an encrypted image (the ldr's) to a isolated SPU which is what actually "works the magic."
Sure, that might be sufficient for saying "Hello World" in Linux but it wouldn't help with using the "PS3" part of the PlayStation 3 to do everything else.

So I am going to wait and see.

If its really Geohot, then i don't think he would risk his name for some stupid bullshit.

People confuding hackers with pirates. Hackers mostly just want to be able to use the full power of the hardware, speacially a beast hardware like the Ps3.

Ps3 pirating will never be viablefor cheap gamers... but hackers using to have a personal computer, opensource coding, video decoding etc will be very pleased and will be able to do so in a very near future.