It's pretty straight forward stuff. Install RSD Lite, and the Moto Drivers.
Hook your phone up to your PC and mount the SDcard.
Extract the Zip file with the LOOOONG name and you will see a file called Recovery-Only_SPRecovery_0.99.3b.sbf.
Copy the MotoCache1_Complete_Root_v1.1-update.zip to the ROOT of your SDCARD (fancy way of saying, don't put it into any directories) and rename it to just update.zip.
Once copied over to the SDCARD, keep your phone connected to the PC and turn the phone off.
Open the keypad and hold the UP direction on the four directional thingy... keep it pressed and turn the phone on. KEEP HOLDING UP!!! And you will see a funky screen with a ! in a triangle. See it? Kewl, that's recovery mode. Open RSD Lite... assuming the right drivers are installed you will see your phone listed near the middle to lower part of RSD. Up at the top of RSD click the ... button and navigate to Recovery-Only_SPRecovery_0.99.3b.sbf file and double click it to select it. Click start and allow it to finish... It will Reboot your phone when done... WAIT! Without getting technical, you need to boot into recovery... that is, ON THIS REBOOT THAT RSD DOES YOU NEED TO HOLD THE UP KEY AGAIN. I'll post why later.. just remember, when RSD reboots the phone, you need to be ready to hold the up key... if you don't you'll be reverted back to stock and re-flash the sbf file again. Depending on what RSD states, ("Phone[0000]: Phone is being rebooted" or "Please manually boot the phone".) wait till the value (you'll see it) says PASS.
Kewl. Power off the phone again. Now and forever (or until you unroot your phone) this is God! Hold the X key on the keyboard and turn the phone back on. KEEP the X held, just like the bootloader... keep it held until you see the recovery. Once you see the recovery, use the volume up and down keys to move up and down the menu, use the camera key to make a selection (yes you can close the keyboard). Move to install and choose the camera key. Move to "Allow update.zip Installation" and choose it. Then choose "Install /sdcard/update.zip (deprecated)" and choose it. Let it finish. Reboot. Enjoy.
Now.. that's crack man's method. Taken from our friends over at droidforums... detailed, indepth, answer all your questions about rooting (I suggest you read it at least once, then try it step, by step).
What I find that a lot of people are afraid of is bricking your phone... and you have a valid reason to be afraid. However, with the invention of unrooting, we have access to the original SBF file... that is, the stock image. If you need to unroot for any reason, or do something that REALLY needs to be undone, search for the Droid 1 Stock SBF file. Using RSD you can FLASH the original firmware back onto the phone. Granted you loose your apps and contacts, but shouldn't they be backed up to the google cloud to begin with?
Technically, from a software point of view.. it's almost impossible to screw up your phone these days. You'd have to have a hardware issue coupled with a software problem to actually have something to worry about.
Suggestions: Once you have root, go to the market place and get ROM Manager... the free one, unless you want to support them... and I suggest you do
In Rom Manager flash Clockwork Recovery as it's just nicer than the original Recovery... and it doesn't care what the update.zip file is called.
Run Fix Permissions.
Get Titanium Backup. I won't say pay of it... but you might want to consider it. you can back up all your apps and settings with it; however, restoring them TB will ask you to install each one one...by one.. by one... at about 100+ apps... this gets REALLY teadious.. paid TB does it all automatically. **ALWAYS RUN TB BEFORE FLASHING A NEW ROM**
One every ROM that you flash you will need to wipe and clear cache... this resets you back to when you first got your phone.. no contacts, no apps (other than the ones that come with the rom).
TB will save you the time and trouble... sync to your google will pull down your contacts.. issues solved
One more thing... TRY MIUI it's like a new phone. Wanna talk about a ROM that changes EVERYTHING... w00t
Dear God, I'm lost......I download the stuff to the phone (if that was wrong, I'm probably screwed)....anyway, hooked the phone to the laptop.....and I'm lost. SD card? where do I find that. I did find all sorts of strange folders and stuff, but I was kinda afraid to go playing in them.
RSD Lite will need to be installed on your PC.
Recovery.SBF will need to be on your PC (cause you'll point RSD to it).
The Moto Drivers will need to be installed on your PC.
Update.zip is the only thing that needs to be on your the SD of your card.
RSD LITE is the software Motorola uses to put Firmware (the OS like windows, linux, Unix, etc) onto phones.
Recovery.SBF is the recovery Firmware that will allow you to install update.zip onto your phone. This needs to be flashed onto your phone via RSD.
And Yes, I'm on the East Cost.
The Moto drivers is the codex that your PC will use to communicate with your phone. Kinda like the phone speaks one language and your PC speaks another.. so they need something to interpret them, this is the driver.
MotoCache1_Complete_Root_v1.1-update.zip which you will rename to update.zip is the actual operating system, this will put Superuser (root) onto your phone. This is basically a ROM type file. When you download ROMs they will come as zip files...
SD Card.... Technically, microSD card.. Secure Digital Card. Small, in this case, VERY Small card. It's actually in your phone. The Droid came with one pre-installed... 16 gigs I believe... or 8... not sure which. You can find it by removing the back of the phone and right above the battery there is a BLACK card. That is your SD CARD. The Droid 1 can handle up to 32gig SDCARD (which is funny to say as they only go up to 32gigs). I highly suggest you read that link I posted..
This guy goes into some in depth detail. Give it a once over.. twice if need be. Run through the steps over and over in your head.
Extract MC1_A855_1282081087_Recovery-Only_SPRecovery_0.99.3b.sbf out of MC1_A855_1282081087_Recovery-Only_SPRecovery_0.99.3b.zip.
Copy MotoCache1_Complete_Root_v1.1-update.zip to the root of your phone's SD card and name it as update.zip.
Boot the phone into the bootloader (dpad up).
Flash MC1_A855_1282081087_Recovery-Only_SPRecovery_0.99.3b.sbf onto your phone. Watch for "rebooting your phone" and do dpad up before the phone boots to "catch the boot" and come right back into the bootloader.
These are a little out dated... but the steps are exactly the same. This is for old school stuff, but the method has not changed. Watch him. Love him.
And now for root.
I don't even think the file names have changed...... lol The first time I rooted I watched these videos.. then went back hit play, watched a step, paused it, did it, resumed for the next step.. etc.