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Charging only verifies that the wires that connect to V+ and ground are intact. It doesn't necessarily tell you anything about whether or not the data lines are intact. Try varying things one by one (different port, different cable, different computer, etc.). You may also wish to boot Apple's diagnostic mode and run a check of the HD.
If your iPod operates normally but simply won't connect via USB (either through the original firmware or the emergency disk mode) then this makes me suspect the cable.
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