From PS Blog:

Quote:
Hi everyone, we’re adding some great new features with the next PS3 firmware update (v2.70) that will continue to enhance your connected experience on the PS3. The 2.70 update brings a new Text Chat feature that enables you to communicate online with your PlayStation Network friends. Now, you’ll be able to chat with up to 15 online friends using the Wireless Keypad, on-screen keyboard, or other compatible keyboard peripherals. Not only can you chat with your friends instantly, but you can also access Text Chat while playing PS3 games and even participate in up to three chat rooms at once.

In addition to Text Chat, we’ve added a few more enhancements:

- Friends list on the XMB (XrossMediaBar)

Sort your friends via their online status
- Attach larger files to the messages you send to your friends (file size will increase from 1MB to 3MB)
- Video delivery service on PlayStation Store

- Video files you’ve purchased from the PlayStation Store can be backed up to an external storage device and then restored to PS3’s internal hard drive for playback – so you can clear up space on your hard drive and then restore the video anytime in the future
- Videos you’ve purchased for PSP (PlayStation Portable) system can now be transferred to PS3 for playback

Also, here are some things that weren't officially listed:

- copy and pasting in the browser works really well
- HD videos from Gametrailers (this goes for Joost, Hulu, and Veoh videos, too) play a lot smoother now (it seems the virtual memory engine was improved...HD video play was smooth BEFORE the VM engine was introduced to solve the "out of memory" issue)
- quiting out of the browser is faster now
- web pages seem to render faster
- Accessing XMB is faster
- gaming profiles are populated faster
- download bar now gives a estimated time of completion
- more codec support (DivX)

Plus, 2 channel audio is now available for CDs and MP3s.  Previously, CD, MP3, etc audio was output via HDMI as 8 channels (2 audio and the rest were empty channels).  That stopped people from using their A/V receiver's DSP effects.  You can now use your A/V receiver's DSP effects.  Just disable 176kHz for 5.1 and 7.1 PCM in your audio settings.

Some benefits to text chat (from B3D):

* Quiet gaming (e.g., late night shooting in a cramped room, small apartments)

* May be more comfortable for non-English speaking gamers

* Good when the party size is big (Can scroll up and down to see past text)

* More fun to make jokes since people can still maintain their persona (role play) like some do in fora

You can, also, have a 6 person video chat going and text chat going with 15 people at the same time!