Sure, you would just give up the following *Ability to sign in to PlayStation Network and use network features that require signing in to PlayStation Network, such as online features of PS3 games and chat *Playback of PS3 software titles or Blu-ray Disc videos that require PS3 system software version 3.21 or later *Playback of copyright-protected videos that are stored on a media server (when DTCP-IP is enabled under Settings) *Use of new features and improvements that are available on PS3 system software 3.21 or later If you can live without the above then no you don't have to install it.
Well it is official, firmware 3.21 has gone live in the US. When you try to log in to the PSN will inform you that you must upgrade. OtherOS feature is dead.
This is extremely sad for the PS3 community... Now PS3 phat 40GB has got no benefit over the slim anymore.
Ok now .. maybe I shud get Xbox360 ... they are also coming out with the motion sensor thingy like wii .....
Here's Sony PWNing Natal and Wii's motion control... YouTube - Kevin Butler "Moves" from the FUTURE Kevin Butler is AWESOME btw (go look up his other ads in YouTube). Best console/tech advertising EVER.