Thanks for the prompt reply. Is it the firmware that is the problem with Mac's? I'm about to upgrade to Snow Leopard, so perhaps that will help--I haven't seen any complaints about SL. Yes, Lion isn't supported by enough programs I use to merit seriously thinking about going there. This doesn't surprise me. Removing the cable would be good if not for the freezing problem.
Thanks for the information on the missing Gig.
For the Bluetooth, I'm just thinking about file transfer at this point. Maybe something else down the line, but if I could use it to get around the recognition problem, I would.