It sounds to me like the drive has failed. Finding a legitimate repair shop that won't charge you more the the machine is worth can be difficult as well. The machines are manufactured as proprietary as possible. Contacting Sony for repair prices would be your best option. You might find it cheaper to just buy a new Playstation.
First make sure everything is plugged in correctly and that the power is on. Afterwards, make sure there isn't another disc in the drive by pressing the eject button. If there isn't anything in there and power is on and it still will not accept discs, then your playstation 3 needs servicing. Call Sony Customer Service.
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