Just got home today with a 500GB WD HDD to upgrade my stock 40GB PS3 HDD.
Ran through all youtube + lyn tutorials. Sounded really easy. So proceeded with the upgrade, backed up all my data.
Unfortunately, upon booting up with new HDD, PS3 did not ask to format HDD, only gave msg "correct hard disk not found"
Panic ++ 
swapped new and old HDD in and out many times, made sure new HDD was FAT32 (used Mac, swisknife, etc) - still the PS3 couldn't detect the HDD.
Then, tried snipersnakes tutorial at start of thread -> the SELECT + START command -> it worked provided you reset the PS3 first (turn on & hold power button till u hear 2 beeps) and with firmware 3.72 in thumbdrive plugged in. Just follow the instructions, the PS3 will then finally "recognize" and proceed to format the new HDD.

Currently restoring my backup data to the new HDD
 

been google for an hours can't really find new infos i need... i plan to upgrade my hardisk, is there any tools i can clone my ps3 hardisk sector by sector?

i brought a few psn games from Terion, if use sony's data back up i scare games i brought cant be reactivated since i dont have access to that specific psn acc anymore...

care to shed some lights on this guys? thanks