I am having a very similar situation. Unrevoked will do everything(it seems like it) but it fails. It does ask if I have new firmware. It's my wifes phone and she has android 2.3.4. Could that be the reason?
My wifes phone is going through the exact same issues with texting, and they recomended us getting another phone, but it's passed it's warranty replacement. I don't want to have to buy a new phone. You would think since it's there fault for a bad update, they would help you out. Nope.Brainfart said:2.3.4 has no option to root yet(that i know of). I'm in the same situation. Wife's phone got the OTA 2.3.4 and her phone is all messed up battery drain ,texting issues..... etc.. Trying the factory reset to see if it fixes her issues but if it doesn't I'll be calling Verizon.