To install SMS on your Playstation 2 you will need the following:
A PS2 (chubby version if you'll be using the independence exploit)
Working exploit or modchip which allows you to run ELF files
(optional but recommended) Official PS2 Network Adaptor kit - for playing your PC's movie collection via a local area network.
To use SMS on your Playstation, you will need to already have a working method to run arbitrary ELF files from your PS2 memory card. Normal PS2s can't do this. SMS is not an exploit to run ELF files, it needs an exploit or modchip to run. You can't just burn the SMS.ELF file to CD as the PS2 copy protection system will stop you from running it. Please also note that the CDXplorer CD-R method is not a method of starting SMS either. Rather it is a way of supplying media files to SMS once SMS is already running.
You will need one of the following (some of which are free):
A working exploit in place (such as the independence exploit http://en.wikipedia.org/wiki/PS2_Independence_Exploit http://www.exploitstation.com/index.php?page=faq) AND a working ELF launching program (such as LaunchELF), AND a PSX (playstation 1) trigger disc.
OR
A mod chip in your PS2 that lets you run arbitrary ELF files.
OR
PS2 linux kit and some way of using this to launch arbitrary ELF files (try here).
If you do not have any of the the above three items, you will not be able to run SMS. You need to get one of them before going any further with this installation guide.
Assuming you do, please read on to the next section for how to install SMS onto your PS2 memory card.