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Mine worked just fine dragging and dropping, but others are saying you need to use a card reader. Soft Reset your phone for both issues and try again.
Also, make sure your apps are closed (activesync, IE, messanger, etc) and see if you still have issues.
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-Alex
-PPC 6700, Moto Q, Touch, Touch Pro, Blackberry 9650, now EVO 3D
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