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Homebrew develper and administrator working closely and successfully cloned and released PS Jailbreak USB modchip and the jailbreak code is released by PSGroove……

First PSJailbreak splayed wide the PS3’s security model, now PSGroove has arrived calling itself the “open source PSjailbreak.” The code must first be downloaded and installed onto a $30ish AT90USBkey or a $25ish Teensy++ USB development board. After that, homebrew enthusiasts can then execute unsigned third-party apps and games on their PS3.

At the moment, the ability to boot ISO files (read: pirated or “backup” games) is temporarily disabled. But we’re sure that some of the internet’s more nefarious types will find their way around that. patched version of the initial PS Groove release has been made available with support for the Backup Manager. Grab the pre-compiled hex-code from exophase.com’s download section. As stated earlier, a programmable USB flash chip is required to run it.

True to their word, Mathieulh and the crew have released a open-source implementation of the PS Jailbreak exploit, coined PSGroove. The software is compatible with AT90USB and related microcontrollers. Grab a Teensy USB development board and you’ll be all set.

It’s worth noting that the PS Groove code is not a 1:1 copy of PS Jailbreak’s take, as it lacks support for running backups. The software is intended only to allow the execution of legal, third-party homebrew applications. To top it off, this rendition of the hack nixes references to the LV1 panic hypercall, meaning you are free to remove the dongle after installation.
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Resources :engadget.com,exophase.com