It is now confirmed that downgrading your PS3 disables BD playback.
News was just released by garyopa @ psx scene.
Originally Posted by garyopa
I have 100% confirmed downgrading your PS3 console, kills Blu-Ray Playback!
I have previously tried everything, upgrading, downgrading, using normal pup files, modded pup files, older ones, new ones, but NOPE, the only way I was able to start watching movies again was overwriting those files from my very lucky backup I had of my previous Jailbroken v3.41 /dev_flash2 and /dev_flash3 file contents.
We need more input, in the meantime:
STOP DOWNGRADING RIGHT NOW!
IF YOU WISH TO SAVE YOUR BLU-RAY PLAYBACK!
UNTIL A WORKING CONFIRMED SOLUTION IS FOUND!
Possible solution are coming up. It may be possible to use others backed up /dev_flash2 and /dev_flash3. Replacing it using FTP. More information coming soon.
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suggested the following (maybe someone can test it and report back):
Try booting into Recovery menu and use the Restore settings.
* Restart System:
o Restarts the PLAYSTATION®3 System.
* Restore Default Settings:
o Reset all system settings back to default.
* Restore File System:
o Checks for corrupt/missing system files.
* Rebuild Database:
o Rebuilds the OS for the PLAYSTATION®3.
* Restore PS3 System:
o Fresh restore; Deletes everything and starts from Scratch.
* System Update:
o Update the PLAYSTATION®3 System