Not amused ...

Factory restored and updated my ATV so many times today it’s just not funny anymore.
nitoTV - Click on Files button nothing happens at all, click on anything else and Finder reboots back to the menu.
Enable external storage for iTunes and the ATV goes into an endless loop of cryptic unix errors until I unplug the USB drive but then the thing wont boot anymore because it now hasn’t got any internal storage
What’s the deal here guys?

ATV OS3.01
ATVFlash 4.01