From gamesindustry.biz:
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Sony Computer Entertainment has told GamesIndustry.biz that the cost cutting measures announced by Sony Corporation today are least likely to affect the games departments.

As detailed this morning, the electronics division is the worst hit of all Sony divisions, with the closure of the manufacturing plant in Ichinomiya in Japan, and a 30 per cent reduction in headcount planned for TV design operations.

Sony Computer Entertainment Europe president David Reeves has informed staff internally that the JPY 250 billion (USD 2.8 billion / EUR 2.1 billion) cost-cutting measures will not include a reduction in games staff, as previously stated last month.

As part of a revised earnings forecast, where Sony now expects a loss of JPY 150 billion (USD 1.68 billion / EUR 1.29 billion) for the financial year ending March 2009, the company's games division is expected to increase losses by approximately JPY 30 billion (USD 337 million / EUR 258 million). Half of that loss is due to adverse currency fluctuations, the other half lower than expected sales, said Sony.
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Full Story: gamesindustry.biz
Discuss on our forums: forums.ps3scene.com

From ps3hax.net:
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It has been a long time since anyone has heard of booting any kind of ISO from the PS3, but hacker by the name of ifcaro has released his version of PS3 USBADVANCE which allows us to boot PS2 games on PS3 via HDD!

His version currently only works on Japanese models but a PAL version is expected to be released soon. PS3 USBADVANCE has been confirmed to be working on the latest PS3 firmware and is available for immediate download.
The program requires the use of Swap Magic to load the ELF.
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Full Story: ps3hax.net
Discuss on our forums: forums.ps3scene.com

From the Official US Playstation Blog
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Hi, everyone, we have a system software updates for PS3 coming soon, and I wanted to provide you with a sneak peak at the details.

The PS3 firmware update (v2.60) is designed primarily to enhance the system's media capabilities. The key feature is a new Photo Gallery application, which delivers a suite of tools for sorting through and displaying your digital photo collection. Digital pictures can be organized in groups according to various criteria, including the camera used to take the photos, the event date and time, colors in the photos, as well as the number, ages, or facial expressions of the people pictured. You can also create slideshows set to music and build photo playlists with an easy-to-use interface. The Photo Gallery application will need to be installed separately from the XMB after you update your PS3's firmware. To install the Photo Gallery application, go to the Photo section on the XMB, select Photo Gallery and press the X button.

The 2.60 update also includes:
* Guest access to PlayStation Store - This enables non-PlayStation Network members to browse through the storefront to check out the latest games, demos, videos, etc.
* DivX 3.11 support - Videos in this format can now be played on PS3.
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Discuss on our forums: forums.ps3scene.com

From teamxcm.com
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This is a new joystick for the Playstation 3 console and includes features such as rapid fire / turbo and a macro mode which will allow you to program in up to 20 steps to perform any special moves during a game to one of 4 memory slots each with its own button (M1,M2,M3,M4). To access the programmed combo you simply need to press the corresponding memory key (M1-4) and the combo will be performed for you. This will come in very handy with fighting style games as most moves and combos can take quite a few different combination of buttons and joystick movements to perform. The joystick is also lighted with blue leds and is encased in a sleek translucent black case.