Ipod in recovery mode, cant restore?

Ive just this afternoon tried updating to the latest ipod touch software, halfway through there was an error so the process stopped. Now whenever i connect the ipod to my usb a message pops up saying "itunes detects an ipod in recovery mode. please restore" or something to that effect when i restore it gets about 3/4 of the way through the process then error message "ipod could not be restored an unknown error occurred" Ive tried restatring the pc, switching around usb slots and Ive made sure I have the latest version of itunes but still no success. Can someone please offer some advice? I really dont want to have to get rid of my ipod!!!