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dmiller - thanks for the tip, I will keep that in mind.
diddy - thanks for confirming my suspicions. Since nothing appears to be wrong with the reader itself, I will not return/exchange it.
Hopefully, since Sony has already done two firmware updates, they will eventually update the software as well. In the meantime, I will avoid syncing. It will be interesting to see if psychandtheology gets the same response from Sony that I did ("can't fix it, maybe you should return it").
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