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"A bit late to the party, I started the process of updating my iPhone at 3:00 PM Eastern. iTunes downloaded the update without a problem, but the install process was halted with the error message:\"The iPhone [your iPhone] cannot be updated at this time because the iPhone activation server is temporarily unavailable. Please try again later.\"From there I've got two options: OK, which simply closes the dialog box, and More Information, which points a browser to a Knowledge Base article on iPhone activation issues. Mike also noted the appearance of an error -4 dialog earlier.It looks to us like Apple's servers are getting slammed hard. A bit of patience ought to do the trick; you might also benefit from restarting both iTunes and your iPhone. Still, the whole thing makes me feel like Veruca Salt: \"But I want an Oompa Loompa NOW!\""^^<http://www.w3.org/2001/XMLSchema#string>
<http://www.engadget.com/2009/06/17/some-reports-of-itunes-issues-while-upgrading-to-3-0/?icid=sphere_blogsmith_inpage_engadget>