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When trying to execute any command line Ruby program I get this error: \NetBeans was unexpected at this time.
I'm afraid this is also a space in path problem and don't know how to fix it other than by installing NB to a directory w/o spaces. Or you can have another JRuby installation and point the IDE to use it, please see http://blogs.sun.com/ divas/entry/installing_your_own_jruby_to for instructions.
But that's where NetBeans installed itself, even if I change the location, it still picks NetBeans 6.7.1. If NetBeans is not able to upgrade gems properly and doesn't allow me to upgrade it by hand from the command line, it means NetBeans is 100% useless for Ruby coding. Or at least, Rails.
You can always just rename the installation folder, or install the IDE from the zip distribution. Anyway, I think I initially misunderstood the problem - if you're trying to execute <nb_install_dir>/ruby2/jruby-1.2.0/bin/jruby from the command line and have spaces in the path, you need to quote the command appropriately (what's "appropriate" depends on OS). On Windows you probably need to put quotes at least around the whole path to the command. Also, as I wrote there is still the option of setting up another JRuby installation to a different directory (it can be any dir). I understand your frustration, but we can't really do much about OS behavior and bugs in RubyGems. We do plan to offer the possibility to update RubyGems directly from the IDE, that would at least avoid the need to fall back to the command line to do it.
One other thing: can you please post what is the exact command you're trying to run? Thanks.