2.0 update--now my phone hangs at "Restoring iPhone software..."

I've read posts with lots of other problems regarding the update from 1.1.4 to 2.0, but I didn't see anything relevant to what I'm experiencing (it also appears as the Apple iPhone support forum is having some problems).
This morning I updated my iTunes to 7.7, as prompted. Then I plugged in my iPhone to charge, and was prompted to update my software, which I did. 95 minutes later, iTunes still says "Restoring iPhone software..." and I have the apple on the black screen on my phone, with the circling "in process" going round and round. (No beach ball of death on my computer screen, however.)
What do I do? I really need my phone to make some calls.

Hello,
After reading about 2 hours worth of posts, the one thing that kept coming up was the issue of having to use a USB 2.0 PC card (my PowerBook is as old as the hills and only has 1.1 ports).
I finally unplugged it from my Mac and plugged it directly into my PC (luckily, I have a company-provided computer as well). 10 minutes later, I was updated and ready to go. I plugged the phone back into my Mac to restore and all was well.
If you are connecting your phone to a 1.0 or 1.1 USB port, OR connecting to a 2.0 port via a hub or a PC card, I would highly recommend using a different computer with a direct 2.0 port, for the update.
I have no problem syncing right now with my USB 2.0 PC card, but going forward, I will only install updates using my PC with a direct 2.0 port (until I can afford a new PowerBook).
I do wonder if I would have problems syncing if I had more stuff on my phone. Right now I'm only using about 2G of my 8G. Time will tell.
Good luck--I hope this solution works for you. I know how frustrating it can be.

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