Apple tv (2nd gen) froze; update; itunes doesn't recognize

I started the new update--it seemingly froze...I didn't know what else to do but unplug it (yes to spite warnings) and now it powers up and goes to the home page, but the cursor won't move. I've tried restarting; I tried restoring it to factory settings by going and buying the micro USb cable-- but itunes cant see it. I tried every which way with the restoration, including plugging in order--powering and not powering the Apple tv, and numerous restarts of the computer.

Same problem- though mine was recognized after troubleshooting the same way you did. I have the ATV3 though, so maybe that worked. Where I then ran into issue was updating, as everytime I try to update it via iTunes i get an error and it fails.

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