New IPhone is a Brick - after new Software Update

Last night I synced my new IPhone 3G that I got this past July after lining up for 2 hours. Love it! However, it's been turned into a brick.
I synced with iTunes 7, using the correct cable with no dock, and it mentioned that there is an update for the iPhone software (2.1). So, duh, I applied it.
When it was done, the phone was dark, so I started it and got the image of the usb cable and a iTunes image, and iTunes said:
"iTunes must check the iPhone software update server to identify this device..."
I clicked "check"
"iTunes has detected an iPhone in recovery mode. You must restore this iPhone before it can be used with iTunes"
I clicked "ok" - then clicked "restore".
"Automatically checking for iTunes and iPhone updates is disabled. Would you like iTunes to check for a new iPhone software update?"
I clicked "check".
"Are you sure you want to restore the iPhone "iPhone" to his factory settings?...."
I clicked "Restore and Update"
"extracting software....preparing iPhone for restore...."
"the iPhone "iPhone" could not be restored. An unknown error occurred (13)."
TOAST
I loved this phone, and now it's a brick!
Will apple help?

I had a similiar issue last night when upgrading my just purchased iPhone to 2.01. Itunes downloaded the new update but during the install I received a message stating "the iPhone "iPhone" could not be restored. An unknown error occurred (6)." I tried this 4 times and got the same results. My iPhone had a dark screen with icons of a cable and itunes on it. Well I called apple support waited for 30 minutes to get to a techinican. After explaining my issue he put me on hold for another 15 minutes then I mysteriously was transfered to AT&T. I was hot to say the least. I WAS able to fix this on my own. I originally was using an imac with iTunes 7.71 on it. I had a PC laptop with iTunes 7.70 (not 7.71). I plugged the iPhone directly to the PC (Not a USB hub). I was successful with the upgrade doing this. I upgraded 2 other iPhones that day and received the error 6 code. But after a second try they went through. I think there is an issue with iTunes 7.71 causing the failures during updates. Try to get your hands on a copy of iTunes pre 7.71. And ensure you are connecting the phone directly to the computer.

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