Instructions
Connect your external hard drive to your computer to determine its format. Right-click on the drive's icon in the "My Computer" folder and select "Properties." Its format will be listed in the pop-up screen. If it is not in FAT32 format, you will need to convert it.
Download the HP USB disk format tool from PC World (see Resources). Install and run the application. Select "FAT32" from the drop-down menu of formats and click "Start." Wait for the conversion process to finish before disconnecting the hard drive from your computer.
Connect the hard drive to your PS3 using the USB ports at the front of the console. The USB ports are located on the left side of the console. Your PS3 will automatically recognize the drive.
Locate hard drive files based on the media type in the PS3 menu. To view videos from your external hard drive, for example, select the "Videos" menu. Scroll down to the external hard drive and press the triangle button to view videos stored on your external hard drive.