I have gone through the install procedure with my new ATV G2. Everything works great until I do the
Restoring the AppleTV in iTunes
procedure holding the option key down and pressing restore. I get an message saying that the device is not eligible for the requested build when itunes tries to verify the install. When I acknowledge the message it shuts down the install. I have the itunes 10 installed. Any suggestions or is this normal?
the reason is because apple is no longer "signing" that FW. this is apples way of stopping people from staying on an older FW and keeping the devices jailbroken. after you jailbreak you must save your SHSH bolbs using TinyUmbrella. (google it). but.... if you have already tried restoring you may be stuck now. because you are now probably in dfu mode and cannot do anything without updating to 4.2.1. sorry...