226w ago - Today D3M0N2009 shared a video from earlier this month courtesy of sonyk0 via YouTube.
The video from DemonHades demonstrates that PS3 40GB Service Mode consoles can actually play PS2 games, but the feature isn't unlocked for the retail counterparts to date.
As most suspect, Sony has been working on a PS2 software emulator for quite some time (since Firmware 2.5x), so the question is really when and how they will introduce it publically.. perhaps via PSN Store PS2 title updates, or just include it in a Firmware update, etc.
Those interested can check out the video below, enjoy!
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Lots of mainstream media sites (IGN, GameSpot, MCV, Gamasutra, etc) have said otherwise... no offense, but TheKoalition is not even in the top million (let alone 100,000) rank of sites so their credibility is essentially zilch in the Internet world.