The homebrew community were initially unable to hack the PSP-3000 because it had a new CPU (motherboard revealed to be TA-90v2) which does not support the PRE IPL Exploit used in hacking the previous versions. This is due to the Motherboard having its own PRE IPL where it checks the firmware thoroughly, if passed the PRE IPL is cut off entirely to prevent unwanted modifications to the system.

In November 2008, Datel announced a "Lite Blue Tool" battery which allows the PSP-3000 to boot into service mode. This battery is not able to start homebrew as the new PRE-IPL has yet to be cracked. The Lite Blue Tool was deterred from distribution due to legal action by Sony. Some time later, Datel changed the name from Lite Blue Tool to Max Power Digital and changed the description.

MaTiAz, a known Finland hacker in the PSP hacking community found an exploit which is done with a US copy GripShift and a HEN save game exploit. However, this was only temporary. After the release of this initial hack, a sizable increase in sales of the game was experienced. Many eBay sellers inflated their prices to cash in on the sudden demand. A revised version of the PSP firmware (v5.03) was released shortly after to patch the exploit. He found a TIFF exploit which is proven to work on 5.02 firmware for PSP-3000 as well as 5.03 firmware for PSP Slim & Lite and the original PSP. However, Davee, another known hacker found a new TIFF exploit and has created a Homebrew Enabler (HEN) which would allow the execution of unsigned code by users. In the Sony Official firmware 5.50, the TIFF compatibility has been removed, therefore disabling any future attempts on TIFF exploits. The HEN for the TIFF exploit, which was called "ChickHEN", was released on May 5, 2009.

On June 5, 2009, Custom Firmware 5.03GEN-A for HEN was released, which is compatible with both PSP-2000 v3 and PSP-3000. It allows users to play game backups (ISO/CSO), PS1 games, and includes access to PSN, VSH, and recovery mode. This marked a major step forward in ending Sony's PSP-3000 piracy protection. Two days later, on June 7, 2009, Xenogears and Becus25 released Custom Firmware launching software called "Custom Firmware Enabler 3.01" which utilizes modules extracted from 5.00 M33 and the recent 5.03 GEN-A. Currently, CFWLeader is on version 3.60 and several improvements have been made.