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You need a hardware flasher. Best way to downgrade is to pay someone else to do it. Go to PS3 Hax forum. There are a lot of people offering downgrade service.
Would it better to send it and have someone do it or like Bobbyangin said and get E3's flasher? I would assume that sending it there would be pricey considering how big the package is. Do I have to send it off though?
It's not as simple as using a dongle. You would need to use a hardware flasher, something like E3's flahser. Or you could just send it off to somebody that charges a minimal fee for you. I know a few places in the US that does it. But yes, you would have to downgrade and have the CFW installed.
Here is a good link to trusted downgrade providers...
http://www.ps3hax.net/showthread.php?t=53127
I know they're trusted, I'm just not comfortable sending my machine off to someone I don't know, I just have a hard time trusting is all, I would much rather get the flasher myself and do the downgrade. Unless it's a PITA to do on the end user's side of things. I don't even go online with the PS3 anyways, so I don't need to access PSN.
Edit: On second thought, the guide for downgrading sounds overly complicated. Maybe I am better off sending it to be modded.