A system and method for automatically analyzing and managing a media hub software update. The system and method each utilize available media hub system and diagnostic information to aid in the analysis and installation of a software update. If the installation of the update is determined to require memory capacity in excess of what is currently available within the media hub, an archive and off-loading process is automatically initiated to free the required memory space during the installation process. Any off-loaded information and/or applications are then restored after the installation is complete.