I have been using WordPress 2.8 since release, and just yesterday when I tried to install a plugin through my admin panel, it would just get stuck at "Unpacking the package." and never get any further. This is strange because in the past I have been able to install a plugin with no problem.
I have checked, and the .zip file does get downloaded to my wp-content directory, it seems to be failing when it tries to unzip the archive into the plugins directory.
Thanks for any help available.