100% CPU Usage, Sound configuration Error and Unknown Error (0xE8000001)

Hi, I just bought a iPod Touch - amazing iPod I must say.
Pluged it in to my Windows Xp to sync some music. (I've been using iTunes for several years now and just upgraded from a 1st generation iPod nano to a 16 Gb touch).
It connected very well and I was ready to sync but then I made a stupid mistake - I updated iTunes to be sure that every thing was up to date.
After the update I get an error about my sound configuration (I've tried uninstalling QuickTime and installing again - didn't work). iTunes open up and starts to sync and now a second issue apears. It uses all of my CPU - flatlinig at 100%, so I cannot use my computer at all. It is now syncing but extremely slow - one song takes about a minute. Now the iPod touch starts to say these weird sounds and rebooting every 20 seconds or so. Finally I get an eroor in iTunes saying that there has been an unknown error (0xE8000001).
So I'm stuck with iTunes not working and no songs on my iPod.. :o(
What to do..?

Hi, I just bought a iPod Touch - amazing iPod I must say.
Pluged it in to my Windows Xp to sync some music. (I've been using iTunes for several years now and just upgraded from a 1st generation iPod nano to a 16 Gb touch).
It connected very well and I was ready to sync but then I made a stupid mistake - I updated iTunes to be sure that every thing was up to date.
After the update I get an error about my sound configuration (I've tried uninstalling QuickTime and installing again - didn't work). iTunes open up and starts to sync and now a second issue apears. It uses all of my CPU - flatlinig at 100%, so I cannot use my computer at all. It is now syncing but extremely slow - one song takes about a minute. Now the iPod touch starts to say these weird sounds and rebooting every 20 seconds or so. Finally I get an eroor in iTunes saying that there has been an unknown error (0xE8000001).
So I'm stuck with iTunes not working and no songs on my iPod.. :o(
What to do..?

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