I checked it without jailbreaking and it still refuses to load anything from USB sticks in 4.2.1
I didn't check the SD card dongle as I don't use it but I use the USB dongle all the time.

I downgraded back to 3.2.2 and its working again.

Everything is working again. FullForce is fine, SwirlyMMS for iPad3G is working again, backgrounder is a heap better than native multitasking so why should anyone upgrade to the buggy 4.2.1?

I checked a lot yesterday as I restored 4.2.1 and 3.2.2 about 3 times each and 4.2.1 has a lot of bugs and faults and good features removed.
I personally will be waiting for a full unteathered jailbreak and a hack so usb devices work again. probably even wait till 4.3 as I dont like 4.2.1 at all.

yeah same here mate, I got everything I need on 3.2.2, the ability to plug in a usb memory stick or external hard drive is a big plus and I don't want to lose that!

I don't need airplay, (no apple TV), I don't need airprint (i can send it to my pc and print there)

i'm staying with 3.2.2

Originally Posted by NakedFaerie

...backgrounder is a heap better than native multitasking...

I dunno about that. On my iPhone4 it seems that native 4.x multitasking enhanced with SwitcherMod or Multifl0w and native 4.x folders enhanced with FolderEnhancer blow Backgrounder and Categories away. Even before selling my 3GS to get the 4, I had the same setup as above it and it all worked so much better than Backgrounder and Categories.

Last I checked on my iPad, Categories still hadn't compensated for the larger screen and native springboard rotation (I was using SpringJumps due to this because my primary iPad usage is while mounted in my car in landscape orientation). I'm guessing that, as with the 3GS and 4, both Backgrounder and Categories will be pointless. Backgrounder's only value will be in supporting apps that don't natively multitask, but that list is quickly shrinking.