The instructions only metion using an IP address for install. Would there be a way to install using USB

There is no way to add files to the player using USB, however you can use the serial cable.

By the way, since you seem to be a newbie at this, I want to remind you to use the @DC modifier if you install any programs that run off of the /drive0 or /drive1 partitions. If you fail to do so, your player will be unable to synch because it won't be able to mount the music partitions correctly, as described here.