Downloading Video
The easiest way to view videos on your PS3 is to download them directly from the PlayStation network (PSN). The PSN has several options for downloading video, and you can choose to rent or purchase from a massive library of movies and TV shows. If you rent video content from the PSN, you will be able to download it to your hard drive, but the content will expire after a period of days. If you opt to buy the content, you download it the same way, but it is yours to keep as long as you have your console.
Converting and Transferring Video
In addition to downloading video directly from the PSN, you can also watch your own videos on the PlayStation 3. To do this, you will need some sort of removable storage, such as a USB or portable hard drive. Once you have one, simply transfer your MPEG-4 files to the removable storage and then plug it in to the PS3. Once you start up the system, scroll to the video symbol on the left and then browse for the specific video you want to watch from your collection.
Streaming Video
Besides downloading from the PSN or importing your own videos, you can also stream videos directly from the web using the PlayStation 3's browser function. Start the browser, and then press the triangle to bring up the address bar. You can then type in your favorite video provider's address (such as Hulu, YouTube or Veoh) and then stream your favorite videos from these services.