I'm having the same issue. I followed baileyscreams guide and also playerkp420's guide. Both give me the same issue where when i get to the stage to install the cfw with the lv2diag the ps3 shows activity for 10 seconds and just hangs there forever. the updater_log file is empty.
I made 10 dumps and checked them to be all good. flew through the guides without an issue and when i get to installing the firmware it just hangs.
If anyone can help on this I would really appreciate it.