OK you have the 2G do you need it to be unlocked? Do you have the SIM that the iPhone is locked to? ie. AT&T SIM and AT&T iPhone If so make sure you have the latest pwnage tool and build your custom ipsw for the version of firmware you want to put on the iPhone. The phone is in recovery mode, when it has the USB to Globe on the screen connect it to iTunes. iTunes will tell you it found an iPhone in recovery mode and it needs to be restored, now hold down the option key and click restore. It will ask you to specify the ipsw you want to restore this is where you browse to your custom ipsw. If you do need the phone to be unlocked then the phone is going to run BootNeuter which can sometimes take very long and with the 2G it is possible to brick the phone. So if you need the phone to be unlocked meaning you have a different SIM than the phone is locked to when creating your ipsw make sure you choose the Activate phone in General Settings, this is personal but I always put my Root partition size to 1024MB or 1GB I've never had problems with that setting but did when I left it at the default once. The Neuter Bootloader should have the settings already checked for it to run if it does then leave it as default, if it doesn't then check the first option and last two bottom options. You can accept all the other default settings to create the ipsw. When Boot Neuter runs you will see matrix like code running on the phone's screen make sure you swipe your finger across the screen at intervals to keep the phone from falling asleep I've heard of people having problems when that happens.