PSP/Custom Firmware Installation

While homebrew can be signed to work on any PSP, we recommend that all homebrew users install a custom firmware (CFW). All Custom Firmwares add the following features:

ISO/CSO Game Playback/Dump - UMDs are notoriously unreliable, so move them to digital format before your game collection is gone for good.
Runs Unsigned Homebrew - Custom firmware allows unsigned PSP homebrew to run, which is important since signing is a new thing. Otherwise, the PSP will claim that the homebrew is "corrupted".
Plugin Mode - Extend the abilities of your PSP with PRX Plugins.
PSone Emulator Unlock - Now you can convert any PSOne game discs to run on the PSP.
VSH Menu - For quick access to system settings. Press select in the XMB to open it.
Recovery Menu - Allows even deeper system configuration, and acts as insurance if the PSP firmware ever becomes corrupt.

Custom Firmware Variants

There are two major variants of custom firmware (CFW) that are currently supported: PRO CFW and neuron's Minimal Edition (ME) CFW. Choose the one that you prefer; though in truth, they are almost identical.

Both of them are based on OFW 6.60, though PRO CFW also actively supports 6.20 and 6.35 versions.

PRO CFW

The last generation of a long history of PSP Custom Firmware, with a pedigree from Dark AleX's original code. It's been made open source and still gets bugfixes even to this day. PRO CFW Website

Unique Features

Prometheus Online support, allowing users to play any multiplayer game over the internet.
Built-in NODRM to enable use of DLC from the PSN.

neur0n's Minimum Edition (ME/LME) CFW

neur0n's closed source custom firmware. It was written entirely from scratch. From neur0n's PSP Stuff.

Unique Features

Support for some legacy 1.50 homebrew using Dark ALeX's LEDA plugin.
Adds a built in Speed up MS access function, which improves performance when reading from the Memory Stick. Faster than Dark AleX's 3.71 Fatmsmod.

Temporary CFW (LCFW)

This method works on all PSP Models.

In this guide, we strongly recommend using Temporary CFW (LCFW). This type of custom firmware must be reinstalled whenever the PSP runs out of battery, which only takes three seconds. It is a full version of CFW, and is superior to Homebrew Enablers (HEN).

While you could take the trouble to permanently install CFW, only a few PSP models support it and there are no benefits. It only takes three seconds to restore Light CFW after your PSP runs out of power.

Install Official Firmware 6.60

If you are already on Version 6.60, skip this section.
If you are using 5.50 GEN or 5.50 Prometheus 4, you will need to remove update protection before proceeding.

Method 1: Connect to Wi-Fi. From the XMB (main psp menu), run System -> Network Update to install OFW 6.60.

Method 2: Download OFW 6.60 from Sony's site, and extract the file. (There are two different versions for PSP and PSP Go!)
Copy EBOOT.PBP to PSP/GAME/UPDATE/
From the XMB (main psp menu) run the update from Game –> Memory Stick.
You have successfully installed OFW 6.60.

PRO CFW

Download 6.60 PRO-C.
Extract the file.
Copy the contents of the extracted folder into the root of the Memory Stick (ex. PSP -> ms0:\PSP, seplugins -> ms0:\seplugins)
From the XMB (main psp menu), run PROUPDATE from Game - Memory stick.
Press X to install CFW.
Delete cIPL Flasher from Game - Memory stick.
Please note that this is a temporary CFW. You will be back to OFW 6.60 if your PSP runs out of power (not sleep mode). But don't worry, just run FastRecovery from Game - Memory stick and CFW will be back in a matter of seconds!
You have successfully installed 6.60 PRO-C!

If the FastRecovery app fails and shuts down your PSP, just turn it back on and run the PRO Update app to reinstall PRO CFW.

neur0n's Light Minimum Edition (LME) CFW

Download LME 1.8, and extract it.
Copy the entire contents of the extracted folder to the root of the memory stick.
Go to Game -> Memory Stick and run the LME Installer for 660.
Press X to install. Your PSP will then restart.
Go to Game -> Memory Stick and run the LME Launcher for 660. Your PSP will restart, again.
6.60 LME is now installed on your PSP.
Once your PSP completely runs out of power, custom firmware will be uninstalled.
Now just run LME Launcher for 660 to restore it.

- To uninstall LME CFW, run the LME Installer for 660 and press Square.
- If the LME Launcher 660 app displays Load error -> 0x80010002 and shuts down, run LME Installer for 660 again to restore the needed system files.

Dual-booting Light CFW

Since Light CFW is temporary, you can jump between PRO and ME CFW without a hitch.

Uninstall the previous LCFW.
1. To uninstall PRO CFW, run PRO Update and press Triangle.
2. To uninstall LME CFW, run LME Installer for 660 and press Square.
Follow the steps above to install your chosen custom firmware.

Lightspeed and Darkspeed

These are shortcuts designed to quickly and elegantly restore custom firmware after the battery runs out. They replace the defunct Digital Comics Reader or SensMe shortcuts in the XMB.

They are not required, but are convenient to have.

Darkspeed - Loads PRO CFW.
Lightspeed - Loads LME CFW.

Installing a Permanent CFW

(Note: We strongly recommend using Temporary CFW instead, it's exactly the same. Please install a permapatch only if you know what you're doing, if your PSP supports it, and you're too impatient to wait 3 seconds to run FastRecovery.)

First, identify your PSP motherboard in the PSP/Models guide.
Next, find out which exploit is right for you, and go to the related page.

See the pages PRO CFW or ME CFW for permanent installation instructions.

Sources

CFW Descriptions
Motherboard Compatibility Chart(http://www.zload.net/bilder/Motherboard%20Overview.png) - [imgur mirror]