I found a solution on this board. Doing a soft reset - the reset button next to the USB port - a couple of times seems to fix the issue.
I'm pretty pissed though that Acer let an update out tha completely hosed the tablet!!! I will be gving Accer a piece of my mind!
That does not work always. On XDA they are talking about removing a certain root file. I am still trying to figure out how to do this without wifi to get programs on tablet, etc