Sony sues iPhone jailbreaker Geohot over PS3 firmware 3.55 hack
What's odd, though, is that this jailbreak doesn't allow pirated games to be run on the PlayStation 3; rather, it's simply aimed at allowing the homebrew community to install their own custom packages. Ultimately, Geohot wants to bring back the "install another OS" option, which Sony removed back in March 2010 -- but now we'll have to wait for the resolution of the court case to see if it's possible.
The legal documents are available from Geohot's website (but it's starting to get pretty slow!) There's also a video of the jailbreak in action after the break.