While many Windows Phone 7 users are still awaiting its first Windows Phone 7 update, others have received it already and while it looks like the update went smooth for most users, some customers have faced problems with Microsoft's first ever update, resulting in a - on the first sight - bricked device. However, if the update failed, nothing (especially not your brand new Windows Phone 7 device) is lost - according to Microsoft - but the company has released some info for customers, which are encountering issues during the backup where the device/backup creation is hung up at step 6/7.
If the backup process is in apparently prolonged state (exceeding the general 30 - 40 min.) with no movement of progress (stuck at 99/100 %):
- Disconnect the device from the PC
- Pull the battery
- Replace battery and power on
- Device should reboot into the OSKernal
At this point, Microsoft recommends not to retry the update, as subsequent attempts will fail similarly. Furthermore Microsoft said that: "While we continue to investigate the issue, we would ask that you not attempt the update until your device alerts you of another update opportunity, in approximately 3 days' time."
In any case, if the workaround above fails, Microsoft recommends as the last option to consult the product documentation and hard resetting the device to factory default to bring the device back.
Cheers ~ Arne