I'm having the same problem now. I personally think it has something to do with harddrive failure of somekind. I've had problems with it ever since I got it with skipping of music/not being able to find files/pixelated screen during videos/freezing/rebooting/ect... I just lost the receipt and then grew to lazy to actually repair it.
Mines also been through hell though to the point where I couldn't legitly replace it anyway (dropped it from about 15 feet 9 months ago, broke apart everywhere, I picked up the pieces and threw it back together and it still ran like the day I bought it with all those problems). I don't know if anyone else had the static popping in the left ear, but looking at websites they say that the zune 80 was not designed correctly to ground itself and that was the reason for it. There's multiple problems with mine, but with the contact support error it seems like the harddrive. I can press all the buttons to reset, but when it comes time to clear/reinstall firmware it goes to contact support.
I'll probably just buy an ipod tomorrow, so no big deal.
*edit* oh snap.. happend exactly 1 day after the warrenty would have ran out for it anyway. good job microsoft. wonder if that's programmed....