If you simply can’t wait for the OTA update, here is how to get Android OS 2.2 (Froyo) immediately.

8 Steps to Froyo

  1. Download this file here
  2. Rename the file to update.zip (if you don’t see the .zip part of the file, it’s likely hidden and already in the correct format, so just name it ‘update’)
  3. Put the newly renames file onto the root of your SD card (meaning inside no folders)
  4. Turn off your phone
  5. Boot into recovery mode (Power + X)
  6. Press the volume up and camera button at the same time for the text to show up (you may have to do this a couple of times)
  7. With your D-Pad, navigate to “apply update.zip“, and hit the gold button to execute the command.
  8. Let the update install, and reboot

[Upgrade steps via: Droid-Life]