System Restore from Networked Time Capsule

The main trick to getting a system restore to work from a networked Time Capsule (TC) is to set the password for the sparsebundle (backup) file.

Open the Airport Utility

Select "Disk Password", as opposed to "Device Password" as the password type for your TC.

Chose a password that you will remember and update the TC.

Connect to the TC via the finder

Open the Finder  |  Go  |  Network

Choose your TC device from the list

Click "Connect as..." button

It will prompt with a dialog that says: Enter your password for the server <TC Name>.

Open Terminal Window

Go to /Volumes/TCDirectory

Change sparsebundle File Password

Run the following command to set the password for the sparsebundle file:

sudo hdiutil chpass /path/to/filename.sparsebundle

Restore from Time Machine Backup

Restart your Mac

Press command + R when you hear the chime.

This will bring up the Mac OSX Utilities dialog window

Choose Restore from Time Machine Backup

Choose your TC | Choose TC disk backup name 

It will ask for a password.

Enter the password you entered in the hdiutil command

Now, you will presented with a list of backups you can restore from.

It will take a long time (perhaps 4+ hours)  to perform the restore.

References

http://www.youtube.com/watch?v=aca8Zfiowtw
https://discussions.apple.com/thread/3182224?start=0&tstart=0
http://pondini.org/TM/14.html

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