I had the exact same problem. Going to this address
http://www.ebookmall.com/sony-reader/, installing the Adobe Digital Editions software, and doing the few other steps solved everything. It took about 90 seconds. That contrasts with the hour in line waiting for useless tech chat support. I don't think "Alyssa" or "Kristen" have a complete grasp of English, and are obviously using scripts (I received the precise same responses from each). Sony tech support had me uninstalling/reinstalling software on multiple computers, and was worse than useless. Then it was due to Norton 360. How hard is it to say, "It's a format issue, Sir, go to this address and you'll be all set before your hot tea grows tepid"?