Geohot was sued after he released custom firmware for the PS3 which allowed for the installation of homebrew. Different firmwares from other hackers eventually led to piracy for the console.
Says Riley Russell, General Counsel for SCEA:
Sony is glad to put this litigation behind us. Our motivation for bringing this litigation was to protect our intellectual property and our consumers. We believe this settlement and the permanent injunction achieve this goal.
Hotz was also happy to have the case ended:
It was never my intention to cause any users trouble or to make piracy easier,” said Hotz, “I’m happy to have the litigation behind me.
Geohot has said he will join in on 'Anonymous' boycott of Sony products, and encourages others to do the same.