why can't i install over my ethrnet port which is working like a champ.

Because the serial port is the only available installation point at this time. The player has some hard-coded boot firmware (protected flash memory) that talks only to the serial port, and this is what's used by the upgrader.

Question: How were you able to install version 2.0 beta 11 if your serial port doesn't work?

In any case, the next thing to try is to do the software installation (or Hijack installation whichever you like) on a different PC. Also click here to see how to use Hyperterminal with the serial port to debug problems.

any advice on how to clear these "empty" artists from my playlist on the player

I'm still not exactly clear on what problem you're having, but perhaps have a look at this and this and see if they help.