The PS3Key feature list has been announced! Check out http://www.ps3key.comfor more information!

PS3Key Feature List:

* USB Plug and Play solution that installs in seconds without any need to open up the PS3.
* Does not break your warranty seal.
* Compatible with all PS3 models, both Fat and Slim.
* Supports all regions: USA, JAP, PAL and KOREA.
* USB device fully updatable by PC.
* Disables forced software updates and will never brick your console.
* Supports most games and homebrew applications.
* Easy-to-use software for backing up, managing, and playing games from external USB Hard Drive.
* Playing games from HDD is much more enjoyable, benefiting from greatly enhanced seek and loading times.
* Supports installing homebrew application on PS3 and external USB media.
* Optionally PS3Key can be supplied with an “open” firmware which does not support backup loading. Users would then have to download a firmware update for PS3Key to get full functionality.

modrobert writes: “Just as I finished typing some good news, more comes, hehe. PSGroove for PS3; an open-source reimplementation of the PS Jailbreak exploit for AT90USB and related microcontrollers has been released by Mathieulh and others. According to the author it should work on any of these: AT90USB162, AT90USB646, AT90USB647, AT90USB1286, AT90USB1287, ATMEGA32U4 and maybe more. The Teensy USB board as seen below seems to be the popular choice of hardware to run PSGroove.

PSGroove

This is the PSGroove, an open-source reimplementation of the psjailbreak exploit for AT90USB and related microcontrollers.

It should work on:

* AT90USB162
* AT90USB646
* AT90USB647
* AT90USB1286
* AT90USB1287
* ATMEGA32U4

… and maybe more.

This software is not intended to enable piracy, and such features have been disabled. This software is intended to allow the execution of unsigned third-party apps and games on the PS3.
Cloning

The repository uses the LUFA library as a submodule. To clone, use something like:

git clone git://github.com/psgroove/psgroove.git
cd psgroove
git submodule init
git submodule update

Configuring

Chip and board selection can usually be handled in the Makefile. In particular, update the MCU, BOARD, and F_CPU lines. Suggested values:

Teensy 1.0:

MCU = at90usb162
BOARD = TEENSY
F_CLOCK = 16000000

Teensy++ 1.0:

MCU = at90usb646
BOARD = TEENSY
F_CLOCK = 16000000

Teensy 2.0:

MCU = atmega32u4
BOARD = TEENSY
F_CLOCK = 16000000

Teensy++ 2.0:

MCU = at90usb1286
BOARD = TEENSY
F_CLOCK = 16000000

AT90USBKEY / AT90USBKEY2:

MCU = at90usb1287
BOARD = USBKEY
F_CLOCK = 8000000

Board-specific notes

Teensy boards only have one LED, so it will turn off when the exploit succeeds rather than turn green. Older Teensy 1.0 boards also have the polarity inverted. In general, a LED should do something when the board is powered, and do something different when the exploit works.
Building

On Linux, use the AVR GCC toolchain (Debian/Ubuntu package: gcc-avr). On Windows, WinAVR should do the trick.

make clean
make

Programming

Now program psgroove.hex into your board and you’re ready to go. For the AT90USBKEY and other chips with a DFU bootloader preinstalled, you can get the dfu-programmer tool, put your board in programming mode, and run

make dfu

For the Teensy boards, you probably have to use the Teensy Loader software.
Using

To use this exploit:

* Hard power cycle your PS3 (using the switch in back, or unplug it)
* Plug the dongle into your PS3.
* Press the PS3 power button, followed quickly by the eject button.

After a few seconds, the first LED on your dongle should light up. After about 5 seconds, the second LED will light up (or the LED will just go off, if you only have one). This means the exploit worked! You can see the new “Install Package Files” menu option in the game menu.
Notes

A programmed dongle won’t enumerate properly on a PC, so don’t worry about that.

This software is not intended to enable piracy, and such features have been disabled. This software is intended to allow the execution of unsigned third-party apps and games on the PS3.