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LV0 keys exist on every Playstation 3, BUT these LV0 keys (the ones found and leaked today) are the ones of pre-3.60 firmware factory PS3.
The ones who comes with 3.60 or newer have a new set of LV0 keys, these are still secured.

Considering the fact that there are 4.21 CFWs already in the wild I must disagree with you: http://psx-scene.com/forums/content/update-2-rogero-cex-4-21-cfw-lv0-keys-released-2659/ . You're confusing yourself somewhere.

No am not.
Out of factory 3.55+ firmware PS3 can ONLY use CFW or MFW by the use of flash tools means. Look at the post of Marcansoft above, and the original Slashdot submission of this post.
Rogero firmware and Bluedisk are no exception!
You can learn more about this topic on http://www.ps3devwiki.com.

LV0 keys exist on every Playstation 3, BUT these LV0 keys (the ones found and leaked today) are the ones of pre-3.60 firmware factory PS3.
The ones who comes with 3.60 or newer have a new set of LV0 keys, these are still secured.

Considering the fact that there are 4.21 CFWs already in the wild I must disagree with you: http://psx-scene.com/forums/content/update-2-rogero-cex-4-21-cfw-lv0-keys-released-2659/ . You're confusing yourself somewhere.

I see!

I had heard it reported that they transmitted cleartext information over the wire protocol, and even read a packet dump taken some 2 weeks or so before the breach at PSX-SCENE. Hackers there reported that cc data and other sensitive information was sent in cleartext.

http://psx-scene.com/forums/attachments/f6/26802-settlement-george-hotz-case-127-stipulation.pdf

OtherOS is not coming back :(

Didnt take long for the details to get leaked..

Here is the info you are looking for
127-stipulation.pdf

N :)

It happened in Germany.

But hey, don't let that get in the way of a good America bashing...

If you google "sony geohot $1" http://www.google.ca/search?q=sony+geohot+%241 you will get some info along the lines that Sony tried to paypal George Hotz $1 dollar ("Attached hereto as Exhibit DD is true and correct copy of a redacted PayPal receipt from George Hotz, using an account registered to..." from http://psx-scene.com/forums/attachments/f6/23998d1294899764-scea-vs-geohot-day-2-more-files-day-3-now-over-more-files-added-04-pdf ). You can imagine why Sony did this ...

From TFO:

Paintiff has submitted substantial evidence showing that defendant George Hotz has violated the Digital Millennium Copyright Act, 17 U.S.C. 1201(a)(1)(A), 120(b)(1). Plaintiff has also submitted evidence demonstrating that plaintiff is likely to suffer irreparable harm in the absence of relief, and that the balance of hardships favors plaintiff.

Once the keys were out there, the irreparable harm was done. There is no "relief" whatsoever provided by this order. It's vindictive intimidation, plain and simple.

I'm also disappointed that the judge decided to assert jurisdiction despite the obvious fact that it's well within SCEA's means to file suit in New Jersey, and clearly places a significant burden on the defendant to appear in California. The fact that SCEA wanted this case heard in Northern California has nothing whatsoever to do with the fact that it's the "proper venue" and everything to do with forum shopping. I can only surmise that the judge was rationalizing her decision to participate in what will undoubtedly be a precedent setting case should it go to trial, which doesn't speak highly of either her integrity or judgement. Signing her name to a paper stating that the plaintiff's case is "likely to succeed on the merits," shows either a bias in favor of SCEA, ignorance of the facts, or both. Mr. Hotz has repeatedly stated that he does not condone piracy, none of the PS3 tools he has released directly facilitate piracy, and in fact, none of the tools he's ever released on any platform has directly facilitated piracy. Sony's keys, while ostensibly a trade secret, are not subject to IP law protections, and even if they were, they were obtained through lawful reverse engineering of property sold to the defendant(s).

In summary, we have some really crappy laws, and those charged with upholding them don't seem to be much better.

No one has managed to enable OtherOS or install Linux

Not true, although it's not in a releasable state yet: http://psx-scene.com/forums/showthread.php?t=67372

The device has already been reverse engineered. Expect clones very soon from countries whose courts won't kneel before you.

im *SICK* of the DRM restrictions on pc games

Consoles are DRMd, too. It's just that NORMALLY, they don't get in the way. However, on the PS3, there are some games which DRM their save files so that you can't backup/restore them with the normal process:

http://www.ps3news.com/PlayStation-3/locked-ps3-game-saves-compilation-list-is-now-available/#ixzz0TLGnOjgP

This is pretty bad, since if your PS3 dies, you lose this game data. You can technically move these to another PS3 if both systems are working, by doing some migration hoodoo using a network cable (as opposed to the relatively simple hard disk backups you can do with any other game.)

Of course, since this generation of consoles have a much higher failure rate than previous generations, this is a pretty big deal to me.

There are other issues that add to the annoyance factor. Some games require that you be signed into PSN ( http://psx-scene.com/forums/showthread.php?t=64147 ) and plenty of games require the latest firmware to play. Firmware updates can brick your console ( http://gizmodo.com/5021399/playstation-3-firmware-24-bricking-some-ps3s ). While you can easily fix a PC which has been hosed by an update, fixing a console is going to be much harder.

Consoles used to be great for gaming, but I'm too wary of all of these issues to buy one now. My last console was a Wii, though before that I had all of the major consoles of each generation.