upon running the script: copybookdir.sh ; I noticed the flash memory on the iphone via the itunes app says there is no more room. The graphical bar that conveys used space now has the "other" (orange color) as the primary space used. I have 6GBs of videos, music, and photos ; and the iPhone doesnt seem to see the files. I ran into a similar problem with itunes version 7.3 . I had to copy the Services.plist file to iphone location: /System/Library/Lockdown .
However, I am now using itunes 7.4 and FW 1.0.2 on an intel based mac.
I cross referenced the services.plist currently in the phone and the one provided for version 7.3 . They are extremely different and cannot conceive the next possible troubleshoot.

Any Ideas??

Thanks in Advance.

use bosstool ipod wiper or just manualy delete the itunes library file in your iphone so you can wipe the entire orange area clean. the library file is exactly the file you need to delete so your itunes will ask you if you wish to restore a backup copy. just google around because i forgot the exact location of the itunes library.
But i do recomend using bosstools. its way easier.
hope this helps you.:p

Delete /var/tools/Media/iTunes_Control/

does this erase my ipod songs? or something else?