has stripped the European PS3 from dedicated PS2/PSOne Hardware. It now does backwards compatibility via software emulation. This means less old games will be supported in the European market. The article also says that they will not focus on getting old games to work if they don't work.
http://news.bbc.co.uk/2/hi/technology/6390657.stm
http://news.bbc.co.uk/2/hi/technology/6390657.stm