[2poor]

A bit of a silly comparison, hosting a bootleg (be it a TS or a CAM) versus talented developers who actually create software.

I don't know how much you know about the MPAA's anti-piracy tactics, but do you realize that being caught with a single illegal copy of a movie is generally a $250,000 fine and additional items are $25,000 each? Now more than ever they're cracking down on people downloading/distributing such files as movies that say, just came out in theaters...sound familiar?

Homebrew does not = games (illegal or otherwise). Perhaps you're thinking about emulators (which are created by developers) and the ROMs they use. The emulators themselves are homebrew software; ROMs are universal and can be used across a wide variety of platforms, not just the PSP. Sure, many of them are illegal to download in theory; some say "well I own the game, etc" but that really doesn't hold any water in the grand scheme of all things legal. That being said, there are still games that are licensed for public distribution (Duke Nukem 3D PSP port comes to mind), so no they're not illegal.

I think you need to get a better understanding of what "homebrew" is; its not another word for illegal games, it generally refers to a variety of software that can be used on your PSP in completely legal ways and to do a variety of other things.