Europe has been getting the worst treatment from sony and this is really going to hinder the sales of the PS3 in Europe because if no good games come out for the PS3 then they will have just wasted their money.
actually its not true that there will be NO ps1/ps2 games that will work on ps3.
first off every ps1 game works and at least 50% and up of ps2 games work or close to it and that it will eventually grow after a while threw updates, it still out performs 360 in backwards compatability