Initial Setup: Apple TV 3 Can't Connect to Server

Hi All-
Just bought a new Apple TV (2012) and in the initial setup it tries to connect to the iTunes store when attempting to turn on Home Sharing, but it comes back with an error message "Unable to Sign In. Apple TV can't connect to the server at this time. Please try later." I've been trying for two days to no avail.
I have a TIme Capsule for my wifi network. I've also tried connecting via wired ethernet, also no luck. I've tried resetting the Apple TV, unplugging & replugging it, restarting my Time Capsule, and I've turned off my firewall. I've also tried restoring the Apple TV, but this also generates a "Can't restore at this time. Please try later" error message.
I've read through other threads that address people's trouble with Home Sharing. They seem to still have access to Netflix, etc. I don't. I only have two options on the home screen "Computers" and "Settings."
Any help would be appreciated.

I would try changing your store location under the settings menu. For indivduals outside the US, change the store location has resolved the "two options" problem. Which is not really your issue, but it worth a shot since you have tried all the standard procedures. OS 5.0 is buggy software and a step backwards on Apple part. I would also update iTunes to 10.6.1 if you haven't already.
http://support.apple.com/kb/DL1426?viewlocale=en_US&locale=en_US

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Initial Setup: Apple TV 3 Can't Connect to Server

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