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I just recently finished probably some firmware for a high speed serial card for internal use at our company. However, it's still suffering from a lock-up after transmitting about an 100 terabytes of data (average) -- from an 'unknown' interrupt!
GCC 3.4 is quite outdated. 2.95 is just plain old. Why not code in Fortran while you're at it?
My development group is also stuck with gcc 2.9x series because it's only compiler our toolchain maker (WindRiver) supports for VxWorks 5.X. I'm guessing he's in a similar situation. I can't complain though -- we've never had an issue with it.