i use nero (5.5.9.17) get the updat for nero from
http://www.nero.com/en/index.html
at the right half way down the page you will find the update if you have any problems loading the page just keep trying.
i havent had my writer for long so i havent installed any firmware for it yet cause i cant seem to find any for pioneer 105 but mine seems to work great anyway so your better off searching for it on the net.Sorry i cant help there.
As for dvd/rw disks ive not actually tried them myself on ps2 i have tried most dvd/rs from the cheap white label dvd/rs to the infinity ones and they all seem to work great. Try for yourself and if they work let me know.
good luck
lollyruk
pioneer 105