The slow USB copy could be that it's using the older USB 1.1 speeds instead. I know some of my players have the slower USB speeds than the faster USB 2.0 FULL speed.
Generally following the "Removing Hacked Memory" post should bring the player back to it's true memory size, so it's strange it's still showing up as 16GB though.
Lolita did mention that the chip you posted was a 2GB chip so it would be interesting if you can copy more files onto it.
Let us know how you get on.
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