She's a brick...Error 6...
Update: So my techie coworker who also has an iphone 3G and macbook had a copy of the 2.0 software, and was able to restore my phone to that successfully using my computer and USB cable, but restoring the software off of his USB drive. Then iTunes wanted to repeatedly restore from my back-up, even after it was restored. It restored & synced eventually...he decided to try the 2.0.1 update again, which once again bricked my phone. He WAS able to install the 2.0.1 software successfully from his USB drive, using my computer. So apparently my computer just didn't like the update it downloaded? Doesn't seem to be a USB issues, exactly...
I'm just glad it's finally working again, but will definitely think twice before installing the next update.🙄 At least now I have a copy of the 2.0.1 software in case I need to restore to that during the next update. Hint: if you hold down Option + Right-click on the Restore button, you can browse for the file you want to restore from instead of just using the file iTunes wants to use.
Worst updating experience ever. I hope the Snappiness is worth it once I have time to play with the phone again. At least I don't have to visit the Apple store. (Never thought I'd say that...)
