The firmware has been hacked by the developer team behind X3Max, a USB dongle used to jailbreak or downgrade other firmwares.
Says the site (translated):
"This marks the third major advance in the world of hack Playstation 3: Jailbroken firmware 3.50 the PS3 by Team X3 with X3max without need for a downgrade! The X3 team has managed to run homebrew on official firmware 3.50 without downgrading! The downgrade is still possible."
The software update will be free, but it is unclear if it will work on anything but the X3max.
For now, take the report and video as rumor until the actual software is released, likely within 48 hours.
Written by: Andre Yoskowitz @ 5 Dec 2010 22:39