Touch update problem

[Andybtsn]

Got my Touch today and am trying to update the firmware to 2.0

But I'm getting the following message which makes no sense?

Any ideas? There is more than enough space to do the back up!

 

[Andybtsn]

Right I've fixed that now but now the Touch won't sync correctly.

I'll set it to sync but it will just stop after about 5 mins! Any ideas??