I did everything you have listed... after speaking with Apple and I still cannot sync Contacts. I was able to sync calendar - once. But it appears that there is a conflict with Plaxo and iPhone's plugins. If I have plaxo installed - even calendar sync fails.
Does anyone know if there is a size limit on the number of contacts. I have over 3400 contacts and my bet is that apple wasn't thinking about larger or complex address books.
P.S. I like it a lot, but without a sync'd calendar and contact db it kinda misses the mark as a "smart" phone.
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