Yeah, but the Bleem! case set the precedent for all emulators of all consoles. The ruling doesn’t just apply to PS1.

Bleem! was able to charge for their product as long as it didn’t include the system BIOS. They reverse engineered the emulator itself, so without BIOS or ROMS, no IP is being stolen.

Which has become the standard operating procedure regarding emulators for decades now.