I just updated to the the newest IOS for my 4th gen Itouch, 4.3.
I synced a movie to the touch and selected it to watch. There wasn't any sound. So I scrubbed forward to see if the issue was with the movie itself. When I stopped mid-way of the movie, it would not play. A still frame of the movie was on the screen and the play/pause button was flashing back and forth.
I have looked over the apple discussion board and it seems this may be a system failure.
I'm posting this in hopes that someone has found a solution.....
Any ideas how to correct this problem without jail breaking the thing?

Chowhound
Comic Vine
GameFAQs
GameSpot
Giant Bomb
TechRepublic