i did "heavy" research on this lv2diag and the tiny pup leaked years ago on my own the last days. i did ran it like the fake psp emu way and made an game install with an eboot and ran it. after that the screen went black and the green power light started to blink. as i did my first test i put a flash, with the pup in root, in but i forgot about that.
i was so shocked as the light started to flash and was very nervous. but suddenly it returned to xmb as usual but the power light blinked. i knew if i shut down now my ps3 may gonna brick so i let it that way some time. in this time i ran the 2nd self from psjb, as i assumed this should be the "finalize" step in service mode. it also went black and returned to xmb but still blinking lights.
now i shut down and hoped it goes to normal. i restarted my ps3 and it booted normal. so this was MY proof that this 2nd self should neutralize the service state or something. now i did the same but this time i shut down without starting the 2nd self. i rebooted and bam, blue screen and no sound, nothing. i immediately removed the hdd and restarted the ps3 without disc to see if everything is ok and it was ok.
my ps3 only wanted a hdd to start from. so no ps3 brick right now, but the hdd was completely write protected with no access. even in dos no luck and i didn't test linux.
i came to conclusion that might fixpermission could help cause of a access permission failure on the disc. but the only way is to start ps3 with another disc, jb and swap the hdd to perform fixpermission. my luck i have serveral hdds with ps3 system install so i can change discs anytime and still jailbreak.
i moved fixpermission to a flash so that i can remove the hdd and still run the app. i ran it and waited about a minute. it worked indeed and the hdd did something but screen went black and froze so i had to cut off power.
luckily the fixpermission helped and my hdd was not locked any longer. but to make it really work i had to first initialize it on windows and then perform fixpermission. without the hdd was not recognized by ps3.
so now to the pup. as i was very, very nervous to the time being i forgot about my flash with that 10mb pup. i sticked it in my pc to remove it due to no work and suddenly there was a log file on my flash where there was none before. it was this UPDATER_LOG.txt which was also leaked in the compressed package.
wtf, it worked? i opened the log but to my disappointing the process was not successful. i posted my story and math told me that if i force the ps3 to service mode this way, the challenge-response thing is not accomplished and so the whole ps3 gets locked and also the flash so that nothing can manipulate anything (anyhow this is how i understood it what he told me).
but the real update process was initiated this way.. it was during the screen went black. it took about 2 mins or so to return to xmb. i read that the secret magic about this pup is that it can be installed from usb root on an automatic process. the header says it is fw 2.42 but thats impossible.
someone seems to have a total brick of his ps3. he tried my method to unbrick the hdd but the ps3 reboots even with a new hdd, so he says. don't know what he did but i can perform this action anytime and "unbrick" with no problems. it is only the hdd what gets locked on my side. maybe someone can send me this fake psp emu?
all this was performed on a fat 80gb fw3.15 ps3. the one told me he has a slim version. maybe a hardware difference?