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Infamous Xbox modding team, Team Xecuter have revealed their latest PS3 mod - The Hyperdrive.
This device will allow you to connect any 3.5" SATA hard drive to the PS3, supporting upto 750GB and switching between the external HYPERDRIVE and internal 2.5" HDD. There will also be USB 2.0 support to dump DATA to and from the HDD. They also state that a few friends in the Playstation scene have relayed that booting games from the PS3 HDD is not far off at all...
Sounds very interesting - especially that last part