Initial sync of iPod touch with non-English Windows XP or Vista leaves iPod touch at "Connect to iTunes screen"

Issue or symptom
When syncing to a non-English version of Windows XP or Vista, the iPod touch may not activate successfully. The iPod touch will display the "Connect to iTunes" screen as shown here:

Products affected
iPod touch
Any non-English version of Windows XP
Any non-English version of Windows Vista
Solution
Update to iTunes 7.4.3 or later (choose Help > Check for Updates).
Update to iPod touch Software version 1.1.1 or later. See this document for more information.
Source: www.apple.com