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Significance
The PS3 can connect to the Internet in order to gain updates automatically. This process allows for a convenience that wasn't possible before, when a disc would have to be sent to the owner to use for the update. This also insures a timely update so that the PS3 can operate at its best.
Updates can also be put into effect to lock out the use of unauthorized accessories or hacking type products which could negatively impact the way the PS3 works (as decided by Sony, which makes the console).
Identification
Software updates are incorrectly referred to as "firmware," but this is misleading. Most of the recent updates are well over 100MB in size as well as including high-level applications. This makes the downloaded updates much more substantial than a "firmware" update whose purpose is to affect the electronic device at a core level.
As an example, included in update 2.50, made in October 2008, was bluetooth support for the PS2 headset in a high-quality mode and support for wireless keypads. This update also featured onscreen indicators for trophies won in games and headset battery, volume and high-quality mode status. In addition, support for Adobe Flash in the PS3 web browser was added, as was support for network printers.
Initial Updates
The first update to the PS3 occured in November 2006. This update for the 60-gigabyte hard drive model added Playstation Network services and Remote Play to the video game console. The Remote Play feature lets the PSP portable play back video content taken off of the PS3's hard drive across a wireless network, and has since expanded to include availability from any wireless access point in the world.
Other updates have included adding support for the PS3 to be able to play original Playstation-formatted titles, adding USB webcam support and allowing the placement of an onscreen QWERTY keyboard as an overlay in addition to the standard Playstation onscreen keyboard.
Frequency of Updates
In many cases an update has been made very shortly after another update to correct for serious problems and flaws that the earlier update added to the PS3. As an example, update 2.40, which was initiated on July 2, 2008, was withdrawn within 24 hours due to problems it caused, such as locking up the PS3. It was replaced on July 8 by update 2.41.
A more recent update, 3.00, was put in place in September 2009 and included features to allow game developers to display trophies in different ways, as well as media changes to add BBC iPlayer support and the ability to upsample audio stored on the internal hard drive or on a USB hard drive. Also, changes were made to the Settings control as well as being able to use the right analog stick of the controller to affect the speed of video playback.
Upcoming Updates
There has been over 29 updates to the PS3 since it was first made available to the consumer. Some have been minor, but others have been of major importance for making the PS3 usable in new ways--the most recent being an update planned for the latter part of 2009 that will add support for stereoscopic 3D games and Blu-ray movies. Examples of how this could be implemented were first demonstrated at the Consumer Electronics Show in January 2009 using the games Wipeout HD and Gran Turismo 5 Prologue.
Expert Insight
It is better not to be an "early adopter" when a PS3 update becomes available. Wait to see how others find it working before doing the update in case a problem is discovered, since it is not possible to reverse the update process.
Warning
It is vital that there is no power interruption during the update process, as this could corrupt the hard drive of the PS3 and make it impossible to use. Having an uninterruptable power supply attached to the PS3 removes this possibility, as well as making sure that a steady source of power is being delivered when in use.