[u441105]

I'm having this same problem, almost word for word like you did. The Upgrade Tool would be stuck on the Restart Device stage, waiting for my device to restart, while my phone is sitting on my desk and completely booted up. I also had the problem with after the phone restarting my computer found a new hardware device, but I didn't remember a CD to install anything so I plugged in one of VZW's CDs and after that didn't work I told the wizard to stop bothering me.

I performed a hard reset like you did, and still stuck at the same problem. I called Samsung but now they want me to call back on Monday when they will upgrade me to Stage 3, since nothing they tell me is working...not that they've told me anything.

I'm running Windows XP with the latest SP, and my phone is flashed to the CC20 ROM. I backed up everything on Active Sync when they told me to, so Allow USB Connections was checked, but after that step the Upgrade Tool seems to automagically uncheck it for me.

I have no clue what to do next, now my phone is bone stock and ugly and I have to wait until Monday to call back, which probably won't do anything. Does anyone have any advice in the meantime? Thanks in advance.