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Just to add my voice: it has happened to me twice so far.
The second time was after I had left the Cybook charging (and turned off), I stored some new books in the SD card with an external card reader, inserted the card and then turned the Cybook on. I believe it was similar the first time.
In both cases I pressed the reset button, extracted the card, turned the Cybook on, it went to the library screen without problems, and then inserted the card.
Mine is a 64MB Cybook.
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