Sigh I tried couple more times (the network password is correct btw) but it just seems like nothing works but freezing. Wifi setup won't work (freezes the second I hit "Join"), Computer setup won't work (freezes the second I eject and unplug from the laptop)...there's just no way around it.
I found an old thread where some users has the exact same problem as me:
https://www.mobileread.com/forums/sho...d.php?t=196432
The OP eventually had to return and exchange hers. I can't believe it's been one year since the debut and they still haven't identify the problem and kept on shipping these defective ones to the customers.
I came across a lot of threads on how horrible their customer server is. Unfortunately for me I live in the US and and there'll be a lot of trouble to get a return (or exchange if I'm lucky). :/ I love Kobo's design and interface so much, what a pity how buggy the reader is.