ERROR 1011 iPhone could not be restored message after 1.1.1 update

hey guys i had the same issue, i update my iphone and it completed but for my wife's iPhone I got same error, then I disabled the mccafe firewall and it worked and I am typing with same iPhone now, but one point here is that the keyboard response during typing is really slow i can not believe how slow is this, it acts like aretsrded device.

Same here not a modded phone in any way lost all my info unless it backed up which I doubt can we sue ?? How can they release an update that does this ? Who is responsible ?

Try quiting and restarting iTunes if you haven't done so since downloading the iTunes 7.4.3 update, the iLife update, and iPhone 1.1.1 update. I had the same issue, though error message was 1607 (I think).
Quit iTunes/re-opened, and restore went fine.

I am having the exact same problem and tried everything from changing USB ports, restarting the Mac, and trying the update on a different computer. My phone is neither unlocked or hacked. Nothing worked so I called AppleCare and the case was escalated to a product specialist. They are sending me out a box so the phone can be repaired. I was told it would be about a 3 day turnaround from the time they received the phone. They offered a loaner phone for $29, but it wasn't going to be here until Monday, so I turned it down. I tried the SIM card from the iPhone in my old phone and it worked just fine despite what the AppleCare rep said. They didn't have me try anything over the phone to fix the problem, so I would guess they most be aware that there is a problem with this update.

It just seems strange to me that it works for some folks and not for others.

I got a 1607 error when installing the 1.1.1 update. Power cycled the phone and my Mac (G5 tower). Ran iphone restore and it worked. Looks like the 1.1.1 update is now installed. It's currently syncing so I think it' ok now. Pheew!

after downloading the new update to my computer, my iphone went into recovery mode. trying several times to do a restore on my computer got an error (1604) saying that my phone couldnt be restored. i talked to the tech support guy and nothing worked, even tried a restore with another computer with the same result. took the phone to the apple store and they were able to restore it just fine (go figure) anyone have any idea why this happened, is it the new update perhaps? something wrong with my computer? itunes? i removed and re-downloaded itunes 7.4.3 with no change. im happy now that the apple guys fixed my phone but worried that the next update or restore is going to have the same effect. hopefully it wont so i dont have to drive over 60 miles to the apple store again!!

AHH! I just updated to the new iTunes, tried to update the new 1.1.1 iphone software and it totally froze my phone. All it shows is an itunes logo with the cord as everyone was describing. I spoke to 2 apple specialist and no one knows how to fix this problem (error 1011). I made an appointment to go to the Genius Bar tomorrow, but meanwhile I'm stuck without a phone. This is ridiculous. Same thing happened with my brothers iphone a few days ago, but he had a different error and was able to reboot his phone after speaking with support.

WARNING TO ALL: BEWARE OF NEW 1.1.1 UPDATE!!

Wait do I have to buy iLife '08 to get iTunes 7.4.3?
I went on the website and only found version 7.4.2...

my iPhone is doing the exact same thing, isn't hacked, was working great. I did, however, unplug it during the installation by accident but from the sound of it, that wasn't the cause of the problem like I thought.

I read above that someone disabled mccafe firewall and it works, how exactly does one go about doing this? and does it actually work?

7.4.2 = mac version
7.4.3 = win version. 😉

Same problem here. Phone is frozen. Spent 2 hours with apple support and will get a box in a day or two to return phone. Never hacked or done anything other than update through itunes. What a mess.