I just bought one and had the same problem, just push the reset boton that is behind the usb conector, then it will reset, but after that you have to format the usb disk whith your computer, then download the software from the samsung problems page I found it looking for the Samsung YP-T7F firmware, then save the software directly at the mp3, to download the software you have to register yourself in the page, and thats all.
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If it just froze up, there's a reset button at the back/bottom, I used a staple if a paperclip isnt available. The reset button did nothing to solve my problem of only getting a screen showing "COBY" but maybe it'll help you.
My daughter had a similar problem - she was frozen at the power off screen. On closer inspection, at the bottom of the K3 on the back of the unit is a reset button (you will need a pin or paper clip to reset it). Pushed a pin in for a few seconds, reset, all was OK.