Playstation cafe has been done. I was a previous owner of a cybercafe (back in year 2006) and there were already a few cybercafes with playstations then. By the time I wanted to incorporate the idea with my cybercafe, the market for it cooled down.

It is not a sustainable business due to the high maintenance cost. Playstation isn't like computers, they are not made to withstand long hours of daily activity. Virus infections on playstation isn't common, but it could happen especially if your firewall is weak.