It's safe to assume that a mandatory update did more than just increase the storage limit for Online Storage, but the release notes for the 4.25 update haven't been posted on the web site yet. Even when they are, not all changes will be documented. Just the highlights.
I updated mine. Yes, 1 gb of storage, HOWEVER, the game data save utility no longer works with usb drives AND you have to wait 24 hours before you can download it to another ps3. What a bunch effing bs that is. Way to go a holes.
The no-USB-wait-24hrs thing is actually not new. It happens when the game data you're trying to save online is for a game with copyright protection. I had this problem with Magic 2013 last week. It's up to the game manufacturer whether or not you can save to USB and how often you can download saved data. Bizarrely, once you wait the 24 hours, you will be allowed to download the same game data twice within 24 hours. How is that useful? 1) Save game data online. 2) Download game data and play game. 3) Download same data and play from the same spot again. These people are insane.