For years, EFF has been warning (https://www.eff.org/wp/unintended-consequences-under-dmca) that the anti-circumvention provisions of the Digital Millennium Copyright Act can be used to chill speech, particularly security research, because legitimate researchers will be afraid to publish their results lest they be accused of circumventing a technological protection measure. We've also been concerned that the Computer Fraud and Abuse Act could be abused to try to make alleged contract violations into crimes.
We've never been sorrier to be right. These two things are precisely what's happening in Sony v. Hotz. If you have missed this one, Sony has sued (http://www.wired.com/threatlevel/2011/01/playstation3-hack-lawsuit/) several security researchers for publishing information about security holes in Sony’s PlayStation 3. At first glance, it's hard to see why Sony is bothering — after all, the research was presented three weeks ago at the Chaos Communication Congress and promptly circulated around the world. The security flaws discovered by the researchers allow users to run Linux on their machines again — something Sony used to support but recently started trying to prevent. Paying lawyers to try to put the cat back in the bag is just throwing good money after bad. And even if they won — we'll save the legal analysis for another post — the defendants seem unlikely to be able to pay significant damages. So what's the point?
The real point, it appears, is to send a message to security researchers around the world: publish the details of our security flaws and we'll come after youwith both barrels blazing. For example, Sony has asked the court to immediately impound all "circumvention devices" — which it defines to include not only the defendants' computers, but also all "instructions," i.e., their research and findings. Given that the research results Sony presumably cares about are available online, granting the order would mean that everyone except the researchers themselves would have access to their work.-https://www.eff.org/deeplinks/2011/01/sony-v-hotz-sony-sends-dangerous-message
Click to read entire article (https://www.eff.org/deeplinks/2011/01/sony-v-hotz-sony-sends-dangerous-message).
[EDIT]That article is pretty popular right now so the site may be slow or non-responsive.[/EDIT]
I was following the news as it unfolded over the past couple weeks, and was very delighted to see this Carnegie Mellon professor (http://www.cs.cmu.edu/~dst/GeoHot/) not only fearlessly mirror geohot's site after Sony issued the takedown, but almost dare Sony to try to get him to take it down as well.
George Hotz's lawyer(s) move for dismissal:
In the present case, Sony cannot demonstrate that Mr. Hotz?s activity could even arguably be construed as expressly aimed at California. To the contrary, the sole alleged tortious activity alleged in this action involves Mr. Hotz-- who is located in New Jersey-- purportedly improperly accessing portions of his own Playstation Computer-- which is also located in New Jersey. Sony's primary allegation is that Mr. Hotz violated the circumvention provisions of the Digital Millennium Copyright Act (“DMCA”) by allegedly circumventing control access to the Playstation Computer. Sony also includes various other inexplicable claims for good measure, including Mr. Hotz violating the Computer Fraud and Abuse Act and the California Computer Crime Law for allegedly "exceeding access" to Mr. Hotz's very own Playstation Computer, as well as for Mr. Hotz purportedly "trespassing" on the very Playstation Computer he lawfully purchased and owns. Sony also alleges that, by engaging in such conduct, Mr. Hotz has breached the PSN TOS (which is actually not applicable to Mr. Hotz as demonstrated above). Nonetheless, this suit centers around the allegation that Mr. Hotz improperly accessed portions of his Playstation Computer.-http://psgroove.com/content.php?691-Geohot-s-Lawyers-Move-For-Dismissal-Sony-s-Response
Seems the case was settled (dropped?) last week.
Sony has agreed to drop a lawsuit against a hacker who published the secret key used to jailbreak the PlayStation 3, in exchange for promises he will drop all future attempts to unlock the game console.-http://www.theregister.co.uk/2011/04/11/sony_geohot_settle_playstation_suit/
Also the guy donated on the money he himself was donated to help fight against Sony, to the EFF.
Hotz, who sought private donations to pay the legal expenses of fighting Sony's suit, promised to give the money away if there were any remaining funds once the litigation ended.-http://www.theregister.co.uk/2011/04/19/geohot_donation_to_eff/
One man just won a ruling against Sony in Finland since a new game he purchased for his PS3 required the removal of OtherOS:
http://psx-scene.com/forums/f6/sony-should-pay-%80100-forced-other-os-removal-85452/
Though, once you read the fine print, you realize that the Consumer Complaints Board, who made the ruling, have no legal authority to enforce the ruling.
The CCB does not have the power to enforce its ruling, but the opinion of the CCB in Finland is considered by the courts in a dispute.-http://www.afterdawn.com/news/article.cfm/2011/04/21/sony_should_pay_100_to_man_for_otheros_removal_consumer_board_says
Even still, it seems like it sets a precedent.