well personally i think the ps3 sucks booty..and not the juicy kind..also my friend had one and his update took forever as well so not sure if its a sony problem or if its a connection issue (56k? cable? dsl?)
i don't have an hd tv either, but i'm planning to get a ps3 as well....not so much because of the graphics, but also because of the blu ray disks and the game "Genji Days of the Blade" or something like that....
anyway, as you can see, xbox360 is once more on the bottom, even with halo3 released a month ago, ps3 weekly sales passed xbox360's in Europe....
OP: Resistance was a launch title, the PS3 launch titles use less than 40% of the systems full capabilities. The longer developers have to learn the system and push their project, the more of the system's power they can use.
It took years before the N64 was used to its full potential.
The PS3 is an amazing system however, and sadly their big game lineup is still in development, but that is also a good thing.
The update is patching your Operating system/firm ware. The PS3 has the most advanced OS on any console yet to date, so it might take a few, but it also sounds like you are having connection issues.
In order to enjoy a next gen system you need the next gen tools. That includes a high rez TV, aka HD-TV. You can still enjoy the system but you cant expect the good looks without a good screen. Once you have that you can choose at which resolution to play games in from the OS GUI.