When I start to upgrade iOS on my iPhone I get this scary message?

I started to upgrade iOS on my iPhone and a window opens that says (caps are mine):

"Updating to iOS 5.1.1 will delete all of the apps and media, including iTunes Store purchases, on you iPhone. To preserve your content, apply this update ON THE COMPUTER WHERE YOU SYNC apps, music, videos, and photos.

"Updating on THIS computer will ONLY preserve contacts, calendars, and other settings."

This seems to say that the computer my phone is connected to is NOT "the computer where you sync… " and therefore the ONLY things that will be preserved will be "contacts, calendars, and other settings, and will result in the loss of "apps and media".

(Just before starting to update, I had sync'ed on the computer the phone is connected to, and yet I still get this message that seems to warn against proceding with an update on THIS computer.)

I don't feel safe trying to update. I used to have iTunes on another computer that I no longer have. Is there any way out of this situation?

Unlocking Iphone 4s outside USA?

One of my uncles bought me an i phone 4s from USA. But it's a locked version so I can't use it here in Sri Lanka.

Can I know is there any way of unlocking the Iphone safely? And what happens to the contract with at&at if I unlock it here? Do we have to pay anything to at&at or something?

I can't buy an unlocked Iphone because it's too expensive for me.

What's the difference between iTouch 4G and iPhone 4S?

Except the calling feature, Siri, and the A5 chip for the 4S, I think both are the same, and both have the same features.Am I right?
But the design of the iTouch is way better IMO.

Please reply, I'm planning to buy the Samsung Galaxy S3, but I'm confused, so I thought if I get an iTouch, I'd also get a replica device of iPhone 4S.

What should i do if my iphone 4 is not charging?

I had this iphone4 and for some reasons it is not able to charge and i don't know what reasons that could be? P;ease help me with this. I have checked the usb, there's no problem with that. Please guide me.

Where can i buy a good iphone 4s case?

I'm looking for a shop that sells GOOD iphone 4s cases, that actually protect your phone really well, i don't care about it looking good. Where in the uk sells phone cases that isn't online?