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I don't know what else I can say, Sony was extremely stupid. They've got enough money to make a secure network and chose not to. It's extremely pathetic, especially after having the network security being broken into before (although, for less insidious purposes)
Also, here's part of the ToS for PSN:
^Sig made by Lemons^
"And if you succeed, you will do so... without recognition. Because you. Do not. Exist."
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