i had the same problem (iphone 4G, iOS 6.0.1, using latest version of PS before that trying to update to the latest again now). but I managed to delete the hung-up PS program to reinstall. now that I reinstalled it, it doesn't remember that I alread purchased this one effect before (reducing grain) and wants me to pay again for it. i cannot tolerate this as I have already purchased the effect and don't want the camera stuff that was added. i use PS mostly for this one thing and now it's gotten useless to me.