How can I fix an iPhone 2G that is stuck on the connect to iTunes screen? I have an old iPhone 2G (first generation) that I plan on using basically as an iPod touch (not using the phone portion).  I no longer have the AT&amp;T service on that phone.  I installed an update to the firmware (stupidly) this morning because iTunes prompted me too... and now the phone seems to basically be bricked.  Upon completing the firmware update I was stuck at the "connect to iTunes/emergency" screen.

For the past 10 hours, I have tried to restore, I have booted into DFU mode. I have even resorted to attempted jailbreaks, all to no avail.  No matter what I do, I still get that "connect to iTunes/emergency" screen, and while the "iPhone" displays under Devices in iTunes, the iTunes page simply says "iPhone". There is no Summary Page, no iPhone section, no version section, no backup section, etc.

I installed iTunes 10.5 and I am pretty sure the firmware for the 2G phone is 1.1.3 (although I had attempted to roll it back).

Does anyone have any ideas on why this is happening and what can be done to get this iPhone back up and running?
Jailbreaking is the easiest way to kill the activation process, fortunately for you the 2G is cracked on such a low level is a one shot process there's a guide up on iClarified how to do it. 

After that you should go have a look at which is a jailbroken firmware with a lot of the features that the iPhone 2G ended up missing out on.