Kind off a bad sign. http://www.theinquirer.net/default.aspx?article=37833 They have completely removed PS2 backwards compatibility in the European market. This is a significant problem for games that were designed with access to mixed-mode support, as apparently several were. Also a problem for game makers who designed games for PS2, thinking they'd get PS3 options as well. What sony has done is to remove two chips which provide PS2 compatibility in favor of a software ROM to provide emulation. Apparently, the lack of these chips may also cause some issues with other games, and it is unknown how games will perform under software emulation as compared to hardware.