lol. it is actually step 11 you want. you need to download the froyo PC36IMG file.
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Let me guess, go into recovery again and find the pc36imgzip?

It's not there, must have renamed it wrong... let me check.
That was it. Just renamed it PC36IMG
Looks like it was loading....I don't see anything new...
On the CMD prompt,
Is it supposed to show C:\Android> Or C:\Android\Root> ?
The 8gb? Yes.
Alright, I just inserted it. Power it up as normal?