It's an emulator! That plays old LucasArts adventure games, along with a handful of other similar titles. You'll still need the actual disks/CD, of course. Unless you want to play Beneath a Steel Sky, because Revolution Software provided the source code. Oh, and Beneath a Steel Sky is available as a free download from the site. The emulator also supports Simon the Sorceror 1 & 2, Broken Sword, and Flight of the Amazon Queen, which is also freely available thanks to John Passfield and Steven Stamatiadis.
let's see how accurate Playstation's blog turns out to be: Firmware Update: 3.42, third in three months and with no real details about what's going on. They say 'security', everyone assumes 'something to block the USB jailbreak'.