Tech News World : PS3 Could Become a Harder Nut to Crack

"Sony is neither confirming nor denying rumors that it will soon phase out current models of its PlayStation 3 in favor of a new version that makes it much harder for hackers to crack its firmware and reprogram it for other uses. Sony contends that hacking facilitates piracy, but its attempts to lock down its system may also hamper benign experimentation." ~Mark Raby

http://www.technewsworld.com/story/PS3-Could-Become-a-Harder-Nut-to-Crack-71937.html
Now I can understand trying to prevent piracy, and trying to prevent tampering with your own systems, but there is a line you need to decide that is too far for yourself here. Tightening security can and eventually will stifle your business or choke it out all together. I don't think that even SEGA would have gone this far. Remember that Microsoft was this way with it's peripherals and hardware originally, but then they saw what was actually going on. People are imaginative, creepy at time with it, but very imaginative anyway.
People have embraced the Kinect as something that they felt had huge amounts of untapped potential. Microsoft first didn't want us messing with it because they want to be our overlords and control everything we do.... Wait MS please don't hurt me... yet... But soon realized that our imagination and innovation with their technologies could help them improve upon it. I am actually in the process of testing some of their new software, it is working fairly well.
In the end we just need to remember that freedom + imagination/innovation = future items that can be awesome or terrifying. However securing against all can end badly... Either by the end for your company as far as a gaming technology, or the end of all your security in a complete disaster involving that same equipment.