In June it had been reported that Sony was developing a Emotion Engine emulator, which would utilize the PS3's existing processors to run PlayStation 2 software code. So in theory, Sony would be capable of making all PS3 consoles backwards compatible via firmware update.In our recent report referencing Sega's leaked Meeting minutes:
PS2 emulator for PS3
(confidential)
SCEA wants to sell all PS2 titles on PSN (GTA Vice City/Sonic/etc)
For co Marketing money show PS3 controller on TV ads – similar to EA Madden Spots, NCAA, etc…
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