Sometime my wifi connection gets errors, and I read that some wireless routers have problems keeping a good connection with the ps3, and it also depends on the modem, like the modem and the router arent really fully compatible. Also thats weird your controller wont work because the controller isnt wifi, its bluetooth. Did you try to restore the ps3? Also resetting the modem and router, or establishing a new connection. And did you plug the controller in and let it sync. Hope some of this helps, that really sucks. There is also a way to start it in recovery mode, you can find it somewhere on this site, ill look for you.