Just ran across this article and video. http://psgroove.com/?p=1078#comments if it's legit looks like we won't need a dongle or any other usb jailbreak devices.
I hope something can be done with the dualshock as well. Don't mind using my Droid phone everytime but it limits the things I can do with it.
If it is real then it will mean opening and soldering some points on the controller. I know that quite a few ppl out there wont be able to do it.