I got it working again yesterday by adjusting the main partition to just below 2 gig so it would be FAT16 not FAT32. I found a youtube video with a player running the same operating system.

YouTube - iPod nano vs. iPod nano CHINA

In case its running a firmware from an older unit that may be compatible with it.

Just so you know, I have tried all the fixes found online, on the old site and on this site. I have used MP3 Disk Tool to adjust the partition all the way so the encrypted section was largest and formatted and brought it so the main partition was biggest again but i cant seem to get the hack off. In the Format tab it always claims to be 4 Gig and on the encrypted and partition tab it still claims its 8Gig. I have tried dumping the firmware but it just claims unknown firmware and refuses to do it.

All these Actions-based players have used much the same UI and OS components, with some minor changes, ever since the first ATJ208x with video capabilities back in 2006. They've only revised the hardware design slightly --- but apparently enough to break firmware extraction in the latest AK202x-based players.

Well based on past experience I believe the "hack" is in the firmware. Not being able to access them when they are off is the key problem. I have seen the files on the drives and they can't be removed unless a way can be found to remove the firmware. What we need is a totally new Firmware for them that will replace everything. I personally don't believe that this firmware originates from the manufacturer, they don't advertise them as being as big as the ebay sellers are. I have been emailing the various manufacturers and asking for firmware to fix the problems with their players but have not heard back from them yet. Most of them sell theirs with firmware that more closely represents the ipod but without the scroll wheel. I think that is intentional because if it can't compete with the ipod then Apple could care less since immitation is the sincerest form of flattery. I just want the memory to show properly so when i add files it won't screw the whole thing up if i accidentally go over.

Don't know if it helps but the board had this on it:
QS20K19 V0.3_C Key
SH - BL1165WA 09/05/04

If that date is on the board, you have a _very_ new player, it's only slightly more than 1 month old.

The date is on the white frame around the LCD screen

What happens if you try running s1res v4.1 to extract the firmware?

I used s1fwx_v30 and it just says unknown firmware then won't extract it.

Operationally speaking, other than the memory hack this would be a very nice player. It plays music loud and clear, plays video clear with good audio as for the games etc.. who cares.

You need to use s1res v4.1!

s1fwx does not support even the slightly older v9.x players (ATJ209x/AK102x), so forget about using it on an AK202x device. It was originally developed for the now 5-year-old Series 8 (ATJ208x) players.