Trying to update iPod touch - stuck in backup mode

I have a 2nd gen iPod touch and am trying to update the software, which iTunes is kind enough to remind me to do everytime I connect the iPod to my computer.  I have synched and backed up recently, or so I thought, before being able to download and install the update.  Now when I am trying to do the update it has synched again, but is stuck in backup mode without any signs of progress for the past hour.  It said it would take an hour or more to complete the update, but maybe they should reword it to say it'll take a day or more.
The last time I tried to do the update and couldn't I finally downloaded an update to iTunes, hoping that would help but no such luck.  What am I doing wrong? 

See Here for
Unable to Update or Restore
http://support.apple.com/kb/HT1808

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    How to put iPod touch / iPhone into DFU mode « Karthik's scribblings
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    How to put iPod touch / iPhone into DFU mode « Karthik's scribblings
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    How to put iPod touch / iPhone into DFU mode « Karthik's scribblings        
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    Try on another computer
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    - try DFU mode after try recovery mode
    How to put iPod touch / iPhone into DFU mode « Karthik's scribblings
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