pl1ght writes in to say that that the much maligned PS2 back-compat issues the PS3 has been experiencing are now a thing of the past
. The newest software update takes the OS from version 1.4 to 1.5, and in doing so seems to have cleared up the worst of the blurry and unreadability problems. There are apparently "still problems with specific releases that have yet to be addressed, but for the most part, your library of old releases should run no problem now -- and with higher clarity than was ever possible on the other machines, to boot."
Nicely done, Sony.