Raghunathan R wrote:
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I cant figure out why you are doing OSCICN=0x80 - that just enables the missing clock detector.

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As I mentioned 10 min after I posted the message, it's typo, it should be OSCICN=0x08, which set the OSCINC.3 bit.

Anyway, the program never reached there, it stuck at the previous sentence because the crystal never oscillates.

Simon