Although this thread is also about an E70 firmware update problem, it does not appear to be the same problem as described in the other thread.
I inserted my product number at the Nokia site and it says that version 3..... is available for my phone. I tried to update through Nokia PC Suite updater. The updater was updated. The updater then tries to connect to the phone, and I get a message in two (actually 3) parts. Point 1 tells me to check to see if the phone is connected. Actually, it very much is (via usb) and I'm able to browse directories, etc. Point 2 is about setting the communication mode on the phone to PC Suite ... yes I did. There's a retry button, so I retried several times.
Then there's a message underneath saying: "If the problem persists, it means Nokia Software Updater does not support your phone model."
So ... it looks like there's a firmware update available for my phone model but Nokia Updater won't install it
Linear Mode
