I would like to add that jailbreaking has advanced 100 fold since this post, it is no longer done with a usb dongle but with custom firmware. I actually own two of them now as the tradeoff for jailbreaking your ps3 is unlimited free games on your hdd, but no online. So I have one legit online and one with 3 1tb external hdd's with games.

Also
http://www.ps3iso.com is a great place to get games and help if you have questions about what it does and what can and cannot be done.