Ipod disabled and can't connect to ipod server

My nephew's ipod touch has become disabled. The one where it says you have to wait 10,000 minutes to use. This is the second time this has happened. I was able to get back up and working the first time. This time I have been unable to do so. I keep trying to do a full recovery on it, via my iTunes but I keep getting an error message stating that I can't connect to the ipod server. I have followed all the suggestions, but one. I don't have the most recent iOS. I'm still on Yosemite.

Is there a known issue with connecting to the server, right now? I have tried doing this via two different internet connections and two different macs.