Update: Via Sony's online help desk in response to the 2.4 issues:

"The PLAYSTATION 3 system software version 2.40 has been temporarily taken offline and will not be available for download as our engineers examine any possible issues with this update. The Knowledge Center will be updated with information as it becomes available; please check back here for further details."

After countless reports of problems across the Internet (here, here, and http://kotaku.com/5021575/sony-pulls-ps3-240-firmware-after-reported-problems) caused by the long-awaited PS3 2.40 Software Update, Sony has gone ahead and pulled the update.

Many users have been a bit befuddled, after being able to access PSN with only 2.36, however on a check of the latest available firmware, it is indeed listed as 2.36.

We can only assume that there is a major bug in the newest release. One would assume it would be detected and patched before it was rolled out en-masse, however it appears that it was not. The big question, aside from 'When is 2.40 coming back out?' is that will Sony repair consoles that this update broke without cost, or will they still insist on charging their repair fee?

Sony has so far insisted on charging users who have had a brick due to 2.40, hopefully they will change their tune! More...

i updated this morning, 2 week old 40Gb PS3. its been running all day, playing a little bit of downloaded content, dvd films, race driver grid while downloading two more demos, all without issues.

from what i read, if you managed to update without a problem your ps3 wont implode the next time you turn on the console, it should carry on to work, its just a few consoles (notably the older models) that seem to be prone to the problems.

the problems seem to happen straight after the update so if you have updated and are worried about the safety of your ps3, you should be alright as long as it was running after the update.

I've got a 60GB one and its been running on the new firmware since this morning, no problems.

yea, i updated this morning too, no problems since, so i'm good, I have a 60gb model with a 250gb hd

I downloaded the 2.40 USA update off this site since I wanted to have a look at it, but the RAR archive is corrupt. I tried again using a different ISP and it's still corrupt. Just thought you might like to know.

(Only read first page replies) All good here, downloaded it as soon as that glorious message popped up saying there is a new required firmware update. I've had my PS3 since January this year and its still working fine, and it was also on for around 9 hours straight.

Yep, I'm reuploading it now... files over 100MB it sometimes happens to when I add them to our server, so THANKS for letting me know. I will reply again when the fixed version is uploaded.

Update: The PS3 2.40 Firmware in the PS3 Downloads section is now fixed!

Could you please confirm whether is it true that you can purchase games (like WarHawk and GT5 Prologue) on one account and play on other account?

I'll try to update as soon as I get home

I also read about that, I wonder if it will allow HOME beta access to those who didn't get in? Glad I don't have to worry about that since I'm in the closed beta.

Hmm... I just read that Sony pulled the update. Figures. Apparently there was an issue. I just got off the phone with their lame support team for the third time today, and told them that the issue is a little more widespread than just in my home.

So what do they do, you ask? Well let me tell you. they put me on hold and read through all of their paperwork looking for a cop-out that clears their name. They still don't care and still want 150 dollars of mine. I told them that i paid 700 dollars 2 years ago when it was brand new.

Heck i didn't even bring home a game that week. the 700 dollars should cover the service repair. But THEY JUST DON'T CARE!!! Oh they "Say" they care but... They desperately need to make all the 150 dollars they can since all the lost earnings over the year. I have personally just about had it with them.

Also someone mentioned a reformat? is that possible to do on my PC or were they meaning thru the PS3? btw i do know quite abit about pc's so not trying to sound ignorant. Also If i go thru the pc i thought i read that the hdd is encrypted? any and all real help is appreciated.