So far Olympus has been very helpful. They escalated the problem to level 2 support. I can still take pictures and record videos. I'll Just use an SD card reader in the meantime.
FYI: If you ever buy a new car, don't listen to the dealer who says break in the engine slowely. Take it out and drive at 110 mph, that way if something is gonna break it will break before warranty expires.
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