I had a similar problem when I was running something that was using up a significant portion of my upload bandwidth. When I stopped it, everything was fine. Could there be some kind of timeout happening if it takes too long for the pkg to upload?
I checked just to make sure, did a reboot and shut my virus protection off.
I have two networks, one that has a wireless router attached and one not. I disconnected them one at a time and tried each independently after bypassing the firewalls ( they are hardware firewalls ). I'm assuming it's http upload but shut them down just to be sure.
These networks are work only and no one else has access to them. I used Wireshark( Ethereal ) and process explorer to make sure there was nothing else running on my local box.
The error happens right about a 4 count.
I thought maybe the directory structure was too deep so I moved it to one off the root and tried. I read the packaging instructions again and repackaged it using the same key. Both with the same results.
The sd image is 23.2KB and the hd image is 39.1KB, both 24bit pngs. The pkg file is 288KB. This shouldn't take more than about a 4-5 count to upload
I have no spaces in the paths or filenames.
Seems like it has to be something on my end since no one else is having issues but I'm lost to what it could be.