This method doesn't rely on any root exploits & will work with any Android version on the ZTE Blade (and all variants). It should work on any phone with an unlocked bootloader (all zte android devices are sold with unlocked bootloaders).
You have just installed ClockworkMod recovery. Your phone will reboot back into android, when it has done that turn it off, then turn it on with the vol- button held to start clockworkmod. Use vol+/- to navigate, home button to select an option, back button to go back. You should create a backup now before you flash anything, when that backup is complete use 'install zip from sdcard' to either install superuser to root your stock rom, or install a custom rom. If you're installing a custom rom then you'll need to wipe data/factory reset too (you will lose all data). reboot, you're done.
Probably best to for XP use the exe driver installer (Thats in the pcsuite.iso in the official 2.3.5 rom)
Windows 7 just works (gets drivers from windows update).
Not everybody is running the official 2.3.5 rom, it's probably a tiny fraction of users. 2.1 roms don't have the driver iso. I found the drivers & updated the first post. The drivers on the phone should work fine, if you are running an unmodified 2.2 or 2.3 stock rom, just plug the phone in & it should mount a driver cd image over usb to install the drivers.
Does the superboot apk deal with changing default.prop (to allow adb remount etc).
It's superuser, it's a clockworkmod zip file & no, it doesn't change default.prop. It installs superuser & su.
If not could do that (use the same thing the CM7 universal converter uses to split the boot.img).
Tell ChainsDD, it isn't my software, I just wrote a quick idiot's guide.
The exploit that z4root uses doesn't work on newer versions of Android (2.2.2 & above), ZTE are selling some phones with these newer versions of Android.
If z4root works for you, then that's fine, there's nothing wrong with it. It just doesn't work for everybody.
If you are using a version of Android that z4root (or other root exploits) do work on, then you should update Android asap. Otherwise a malicious app could use the same exploit to take over your phone. Root exploits themselves aren't bad (as long as you're doing it to your own device, or with permission of the owner) - the fact that root exploits work is bad & a sign that you need to update the software asap.
GSF has it's own thread. You can get the same effect by using the gen1 to gen2 tpt & then installing gsf. It is buggy & old, I think there is a nasty remote root exploit out there for 2.3.4 too. Just use CyanogenMod, it's much better, less buggy, more secure, they keep up with the latest Android fixes & it has more customisation options.
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