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I clicked it and it's going kind of slow, it is at 9% after a couple minutes, so I know it's not just the save data. It seems to be going at about the speed it would take to copy as many GB as the whole disc, to the HDD.

What does this option do? Can I play the game without having the disc in? Or, what is the benefit of doing this?

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Okay I did some googling and it seems it will speed up loading time, but still not sure exactly what data it copies. – gameaddict Jun 12 '12 at 6:25
I don't own a PS3, but I assume it's the same as X360? Installing a game to the hard disc speeds up loading time. – deutschZuid Jun 12 '12 at 6:36
thank you ................ – gameaddict Jun 12 '12 at 8:25
up vote 1 down vote accepted

It's copying most of the game files the game needs to run to your HDD. Once you've installed the game, the disc will mostly be used for verification purposes (i.e. to start the game) The game will largely run entirely off of your hard drive. The biggest benefit to this, is that it will save a lot of wear and tear on your disc drive.

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