Quite incorrect, perusing the PS3 hacking forums prior to the OtherOS debacle shows that the PS3 OS was under attack for years, the big players in the cracking scene were extremely reluctant to advertise their failures and resorted to the old “I could crack it if I wanted to, but who cares about the PS3, has no games” canard.
GeoHot’s announcement of a possible hack using OtherOS combined with Uncharted 2 being nominated Game of the Year threw the pirate community into a fit, here was a triple A game they couldn’t steal but GeoHot’s hack provided a ray of hope that the PS3 could finally be cracked.
SONY removed OtherOS (not their best move, but it was a voluntary choice and any hacker interested in custom firmware just had to say no to the patch) and GeoHot failed to come up with a followup hack, not a surprise considering his talent for self promotion far outweighed his supposed hacking skillz. Having the hope of a cracked PS3 presented and then suddenly snatched away put the pirate community on the warpath. A failed SONY boycott, threats against SONY employees and their families & children, followed up by a full on attack on PSN and a botched attempt to steal credit card information did nothing and resulted in nothing more than turning the PS3 users against the hacking communities.
It wasn’t until a Service USB dongle was stolen and reverse engineered that a brief window of open firmware was available, but SONY closed the hole so quickly and completely that to this day the PS3 is still locked down tight. GeoHot flaunted the cracked keys from the stolen USB dongle in an attempt to shore up his flagging reputation, then quickly caved when SONY filed a civil suit against him. The rumored master key to unlock the entire PS3 OS never materialized and those that were cracked using the USB dongle code are stuck with firmware 3.60.
In the end the PSN credit cards data was never used, OtherOS is still gone and the PS3 is still un-crackable.
And in XBOX land, hundreds (if not thousands) of XBOX-Live users have been suffering through a continued FIFA-2012 hack that has stolen countless amount of cash and point from users credit cards.