The backup process is only necessary if you want to preserve your settings and data. If you have a new PS3 Slim, or if it's OK to ditch all of your data and settings, then you can skip this step.
The system information page tells you which software version is running and how much storage you still have.
Go to the Backup Utility page in Settings, then the System Settings submenu, to start the process.
Obviously, we selected the Back Up function.
Yes, you would like to back up data onto another storage device. At this point, you need your spacious USB 2.0 storage device.
Since we performed the backup process on a brand new PS3, we could use a thumb drive as small as 512 MB.
Just stick the thumb drive into any of the USB 2.0 ports…
…and start the backup process. Done.