Sony has just removed gamesharing but reducing the sharing slots to two. The good thing to come out of this is, they have started a new management site where you can check access permissions and deactivate your accounts. This was a much needed move by Sony.
Here is their full statement.
or game content purchased after November 18, 2011, a new policy will apply and the number of devices that can be activated will be as follows:
Please note that this update will not affect game content purchased before November 18. The PSP rights include PSP-1000/2000/3000 series as well as the PSPgo system.
PlayStation Network users are able to change the activation setting through each device, and Sony Computer Entertainment plans to provide a new PlayStation Network account management website where users will be able to deactivate particular devices attached to their PlayStation Network account via their PC.