Same problem as others have described. But try this:
Turn the camera on, and as soon as the lens is fully extended, grab and hold it to prevent it from receding back into the housing. On mine, the power LED then blinked back and forth between green and orange a few times, and then stayed green, the camera stayed on, and now it's working fine.
I'm not sure what the deal is, but I tried this because when it was failing, I noticed that it wouldn't focus properly. I suspect that the software has gotten into an improper state (no idea how), and needs to be reset in some way. For whatever reason, this did it. You have to grab and hold the lens firmly AS SOON as it's out all the way. If it starts to go back into the camera before you stop it, it's already too late.
Hope this works for others....
Tom, December 2009