This video applies to the original ps3 that was released at launch. I just brought a 40gig ps3 and upgraded the hard drive to a 250gig hard drive and the install was all together different from my older 60gig ps3 that I upgrade to 120gig ps3.
This video shows the hard drive has to be move from left to right to uninstall the old hard drive and right to left to install the new hard drive. That is how the original 20g and the 60g ps3 was setup. On my new 40g ps3 you pull the old hard drive straight out and you push the new hard drive straight in.
On the original 20g and the 60g ps3. After the hard drive swap out, the ps3 software automatically saw the new hard drive and ask you to format the new drive.
The new 40g ps3 saw the new hard drive as a error and ask me for the ps3 software. I had download the ps3 software with my pc to place the most recent ps3 software update to a flash drive. On the flash drive I made a ps3 directory and update folder and drag and drop the software there. Connect the flash drive to one of the 2 usb ports. Than I had to press and hold select and start on the ps3 controller to allow the ps3 to scan the flash drive for the latest ps3 software update. Once the ps3 found the update, the ps3 gave me the option to format the new hard drive.
On the original 20g and the 60g ps3 version software is in the ps3 memory. On the 40g ps3 the software is stored on the hard drive. So if you remove the hard drive or some how the drive goes bad. Than your 40g and maybe the 80g is a shinning black brick until you install a new hard drive with the lastest ps3 software.
Maybe there's are more recent video for the newer ps3.