How to Reset a PS3 Hard Drive
Simply go to Settings > System Settings > Restore PS3 System. Follow the instructions, but be warned—this will delete all your data!
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Resetting your PS3 hard drive is easy! Just go to the Settings menu, then System Settings. From there, choose 'Restore PS3 System,' and follow the prompts. Remember, this will wipe everything, so back up your data first!
Did this when I sold mine. Backup your saves, then Settings > System Settings > Restore PS3 System. Be ready for a fresh start!
Settings menu -> System Settings -> Restore PS3 System. Done.
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