Main Features Revised in System Software Version 2.10Well, go get your update and throw away your converters. Crappy quality is no longer a friend of ours!
A voice changing feature has been added to enable changing of your voice pitch during chat. You can adjust this setting under [Settings] > [Accessory Settings] > [Voice Changer].
DivX and VC-1 (WMV) have been added as codecs that can be played under [Video.
You can now select [Type 3] under [Bitmapping] in [Settings] > [Music Settings].
Also, I've tried out the following formats and they all work, DivX, AVI, WMV, and MPG all work. I've heard XVid works as well.
Update: I've found some hidden changes in firmware 2.10, they are minor, but add to the PLAYSTATION 3 performance.
Hidden Change #1: When you launch your browser, the background stays as your XMB background.
Hidden Change #2: Movie icon motions now work when they are categorized into folders.
Hidden Change #3: Space images were added to the music visual player.
Hidden Change #4: A commenter reports that you can now play PSone games on the PS3 HDD (and PSone games on disc) through remote play with your PSP.