I got some number of complaints about AVG detecting a trojan in the PS3Eye installer.
The AVG generates higher than normal number of false positives, comparing to other AV software. Here are some of the steps that you can do to eliminate those (taken from their forum). If you are not sure you can run the installer and/or any detected files through the Virustotal’s on-line tool that will test it against large number of top antivirus engines and tools.

~Alex

Alex P - 23 December 2009 09:38 AM

I got some number of complaints about AVG detecting a trojan in the PS3Eye installer.
The AVG generates higher than normal number of false positives, comparing to other AV software. Here are some of the steps that you can do to eliminate those (taken from their forum). If you are not sure you can run the installer and/or any detected files through the Virustotal’s on-line tool that will test it against large number of top antivirus engines and tools.

~Alex

Yes. and this is what it would look like if you do have AVG. i use AVG as my AV(Anti-Virus), but its getting worse on its detections, as much as i hate it at least i know what’s what when using it and of what gets detected.

Almost forgot, apparently Avast is also Detecting this as a virus as well, I’m guessing Avast is doing the same as AVG.