According to Cnet Android can't handle a 32Gb SD card. They seem to be focused on the N1 but I'm seeing referrals to Android in general. So there will be an update to 2.1. Maybe part 2? Maybe 2.2.
Google to fix Android card-formatting flaw | Relevant Results - CNET News
Google to fix Android card-formatting flaw | Relevant Results - CNET News
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