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Well I had this same exact problem, and found this page via search engine. I tried doing the 45 second reset thing and it didn't work, but I found another way.
I went into the config menu on the player and set the USB mode to MSC. Once you connect it to your computer, reformat the device by right clicking on it from My Computer. I was trying to reformat it in MTP mode, which should work, but wasn't for some reason.
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