Error 0xE8000035

Doesn't work for me. Have created new iTunes Library. When I connect to my iMac the Adobe DNG Converter application launches, and iTunes freezes. The Touch locsk with the Apple logo showing. I believe it's gotta do with one of the Apps I downloaded. Problem, none of the troubleshooting tricks in the Support site helps. And there is no way to clean the Touch from all its software and reinstall.
Hate it!

I think I just found the solution:

Create a new library in iTunes (Command button down while booting the app)
Reboot holding the "Power" and "Home" button, let go of the power buttong but keep the home button down until an iTunes and an USB logo pops up. The iTunes app asks if you want to reset the Touch with new software.
Now the logo and a spinnning wheel (arrow going round in circles) shows for some time...
Presto: It worked!

I think the 0xE8000035 message is one that pops up when there is no other explanation, but really can't understand why Apple doesn't post its error messages with an explanation somewhere on it's site.

Hello,
I've been in an even worse condition, as my iPod Touch was stuck at the "Apple logo" stage and all sort of errors would appear when either synching or attempting a "restore".
I was a bit worried about the answer above my message because it implied restarting from a blank library. Luckily I've found that document http://support.apple.com/kb/HT1808 provides a better solution. Basically it is sufficient to hold the Home button down in order to start the reset procedure, and if you have an existing iPod backup, which I luckily had, all the iPod contents are restored while preserving the current library content.
In other words, the solution is the one mentioned in the previous message but with no need to create a new library in iTunes. If you do not have any backup available, I believe the iPod would start from an empty state but then you could feed it again through your usual iTunes library.

HTH.

Best regards,

Giovanni