Give the thing to some one and purchase a new device. The processor is not operating the unit. I see no way to recover from this problem. If you remove rear cover and unplug battery you can try again and again. You can install os on micro card but it will not work. it makes a nice paper weight.
yeah insert it in and download some program if need it for your usb key it should appear by itself on your pc
O/S corrupted. Contact the authorized service center. O/S might have to be re-installed.
Well their is plently of websites out their that you can download "flashes" like the software, http://www.redmondpie.com/download-and-install-android-2.3.6-gingerbread-grk39f-on-nexus-one-how-to-tutorial/ this is a good website for getting the software depending on what version of android you have and then tells you how to do it incase you dont know.
Yes update cheers