For some time now PS3 users from around the world have been installing Linux on PS3. This was done by getting the software and installing it either with a USB cord or with a disc. The practice was very common place, but in March of 2010 Sony created firmware that made it impossible to put Linux on PS3. This firmware that was released was not a mandatory change, but those who did not download it paid the price as they were not able to use features supported by Sony, such as using the PlayStation Network.
The result is that a suit was filed by Anthony Ventura a resident of California. He filed the suit because he feels that Sony has disabled functionality of the unit that was advertised when he bought the PS3. Many support his argument, as there were millions of customers who are no longer able to use Linux with their PS3.
Sony has said that consumers are no longer able to put Linux on PS3 because of security precautions. The paperwork associated with the lawsuit also states that piracy is an issue and that is why the firmware needs to be downloaded or those who choose not to can't use certain functions of the PS3. There is not an official dollar amount that is associated with the lawsuit, but it is stated that the suit is associated with a dollar amount in excess of $5 million. Although Ps3 Magic allows you to install linux on ps3, for people that still want it.