I unlocked an OTB 1.1.1 using anySim. Now I want to upgrade/unlock to 2.0 so I followed the Sticky FAQ.
The problem I face is that my Mac hangs when it displays the message "preparing iphone for restore". The blue bar is almost to the end.
I see some other people also have the same problem but I couldn't find a working solution. Some suggested USB port change some said different computer. I tried USB but I don't have another computer.

- Should I try to restore to a 2.0 without using custom & then try to restore again with custom 2.0 ?
- While building the custom 2.0, I chose NOT to update the bootloader. Will that option help ?

EDIT :
SOLVED !
- This error happened thrice with iTunes/Mac. I tried winpwn on Windows XP SP2 but that had its own issues (iTunes won't open after creating custom image) so I decided to retry with Mac. I erased iTunes application, re-downloaded everything again. It was stuck again but a little earlier on "waiting for iphone". After a reboot, I kept force quit application dialog handy ... just in case ... but for some weird reason this time everything went smoothly and now I'm on 2.0. Thanks to all for their help.

What do you mean by "hang"? Do you mean you get the spinning volleyball and iTunes doesn't respond?
If that's the case you shoud check with Activity Monitor if there is any CPU activity coming from iTunes at all, sometimes it may appear it's not responding even when it's in fact working.

You could try restoring to the original 2.0 (not the custom one) and run PwnageTool from there, then build the custom .ipsw and try restoring again.

- While building the custom 2.0, I chose NOT to update the bootloader. Will that option help ?

Yes, keep it that way.

Yes you can try restore with original 2.0 Fw, worst thing can happen is that you have to do a downgrade for some reason (no problem but a lot of work)

You don't have to upgrade your bl all the baseband manips are done by BootNeuter after the phone is already pwned and rebooted so this can't be the reason

Originally Posted by iDarbert

What do you mean by "hang"? Do you mean you get the spinning volleyball and iTunes doesn't respond?

The computer stops responding (mouse/keyboard dead) & fan running like a rocket engine. I have to yank out the power cord - happened thrice. Fortunately the phone didn't die.

Is it because I'm trying to go from 1.1.1 to 2.0 directly?

Originally Posted by iBlackPhone

The computer stops responding (mouse/keyboard dead) & fan running like a rocket engine. I have to yank out the power cord - happened thrice. Fortunately the phone didn't die.

Is it because I'm trying to go from 1.1.1 to 2.0 directly?

That's *very* odd, I suspect something maybe wrong with the computer itself.
Try unplugging every USB peripheral except the keyboard, the mouse and the iPhone.

Originally Posted by iDarbert

That's *very* odd, I suspect something maybe wrong with the computer itself.
Try unplugging every USB peripheral except the keyboard, the mouse and the iPhone.

those are the only 3 peripherals I have
I don't know what else to try on the Mac. Its a 2005 PowerPC + OSX Tiger. I am afraid to restore it to un-customized 2.0 because if its locked again, I won't have a phone to use with T-Mobile. Any suggestions ?

Or should I go to winpwn. I've seen similar problems with people though...iTunes stops responding at "preparing iphone for restore"

Originally Posted by iBlackPhone

Or should I go to winpwn. I've seen similar problems with people though...iTunes stops responding at "preparing iphone for restore"

You mean you have a PC too? Try using that.

I've never heard of this problem before, having iTunes hang or give a error is one thing, but for the whole computer to freeze...

Originally Posted by iDarbert

You mean you have a PC too? Try using that.

yes, i'll try it on my PC.

Hi, I'm having the same issue.

Trying to upgrade a previously jailbroken/unlocked G2 iphone from 1.1.1 to 3.0.

Using iMac G5 with 10.4.11

Created an IPSW just fine w/ Pwnage tool, everything seems to work. I successfully put the phone in DFU mode, choose the IPSW I created, and everything hangs at "preparing iphone for restore." The machine doesn't respond to keyboard or mouse and the fan starts screaming. I'm forced to pull the plug.

I've gone through this process twice now. Any thoughts? Did using another CPU (PC) work for you?