As for those glaring security holes? Noted PS3 hacker Youness Alaoui (aka KaKaRoToKS) posits, "For now, it looks to me (at first glance) that the PS3 has been re-secured, but it doesn't mean it can't be broken again from scratch." DigitalFoundry explains that while Geohot's reveal of the "mtldr" key irrevocably broke the PS3's "chain of trust," Sony's solution effortlessly sidesteps this seemingly insurmountable breach: "According to Alaoui's quick analysis, Sony simply doesn't use mtldr any more, opting for a new security system that could possibly require a completely new exploit to be uncovered."
Even money says someone somewhere will uncover that exploit, but for now, it sounds like Sony can breathe a sigh of relief.
[Thanks for the vid, Johnra (and everyone else that sent this in!)]