Some users have reported an issue in which iTunes displays the message “iPad Could Not Be Restored, Unknown Error 1014.” The problem is especially prone to occur when attempting to update to iOS 3.2.1.
Fixes
Remove Mobile Device Support and Reinstall iTunes. As described in these Apple Knowledge Base articles:
Windows XP
Windows Vista
Mac OS X
Perform DFU restore. To perform a DFU restore, follow these steps:
1. Backup your phone and preserve data. Follow the steps in this Apple Knowledge Base article to transfer your purchases and backup your iPad.
2. Put iPad into DFU mode. Connect your iPad to your computer and open iTunes (if it doesn’t open automatically). Hold down both the top (sleep/wake) and home buttons for exactly 10 seconds, then release the top (sleep/wake) button but keep holding the home button until iTunes displays a message stating that a device in recovery mode has been discovered.
3. Restore. Press the restore button and allow the phone to complete the restoration data. After it is done, select setup as a new device.
4. Restore your backup (optional). Next, you can restore the iPad again in the normal fashion (not DFU mode) using the most recent backup rather than setting up as a new device. However, this may cause the original problem to return in some cases. If the problem returns, follow steps 1-3 again and do not restore your backup.
Feedback? Have a different fix? info@appletoolbox.com.