that was happening with mine....did you have wd 2go enabled for web access?
i had an address from china hitting mine hard, trying to download my entire 300gb of stuff, and cratering my network.
OK, that's pretty worrying. I do indeed have WD2GO enabled for web access, it's a big part of why I bought the unit.
I think I'm getting somewhere with the unit now. Twice I've backed up my 125GB to the unit and twice it has gone crazy, become unresponsive and constantly seems to be doing something. Twice I've had to factory reset it. This time I disabled Twonky before backing up the 125GB and it hasn't slowed down at all. It goes to sleep when it should and doesn't wake up when it shouldn't.
So, having removed WD Smartware and disabled Twonky, I seem to have a workable NAS. I really wanted the backup software to work, but having spent an extra 25 quid on some different software I'm sorted although I feel like I've been ripped off by WD. I really wanted the Twonky server to work because I've got an Xbox 360 but I guess I'm going to have to live without it. Now if only I could get WD Photos to show my photos ... but that's a whole other support ticket.
So, is it fit for purpose? No, clearly not, and I'm not basing that on just my experiences. Maybe, when they sort out the software/firmware they'll be on to a winner, but given that WD Smartware hasn't worked for nearly 2 years, I won't be holding my breath.