*** This bug is a duplicate of bug 754569 ***
    https://bugs.launchpad.net/bugs/754569

Agree w/ #4.  This is NOT a duplicate of bug #754569.

This is something to do with the way that empathy links account settings
to the gnome keystore.

It's still broken, and has nothing to do with two-step authentication.
I'm using a EDU google domain, and it has a dedicated desktop client
password, and that password works fine until I edit Empathy, then when I
go back in next time, everything is gone.

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https://bugs.launchpad.net/bugs/796322

Title:
  Empathy keeps on losing Google Talk's Application-Specific Password
  for Applications

Status in “empathy” package in Ubuntu:
  Confirmed

Bug description:
  Binary package hint: empathy

  I enabled Google's 2-Step Verification and use Empathy to access my
  Google Talk contacts. I noticed that every time I reboot, Empathy
  keeps on losing the application-specific password to the point that I
  now have it saved - but encrypted - on my tiddler. Empathy does not
  lose the password on application restart though.

  This not only happens on a single workstation at home but also on my
  workstation in the office. Both have Empathy v2.34.0 installed and
  both using a completely different application-specific passwords. I've
  also tried it using another user account on my home workstation signed
  in using a completely different Google account with 2-step
  verification also enabled with the same results.

  Empathy just kept on losing its' password.

  Link to the 2-step verification help page:
  
http://www.google.com/support/accounts/bin/static.py?page=guide.cs&guide=1056283&topic=1056286

  ProblemType: Bug
  DistroRelease: Ubuntu 11.04
  Package: empathy 2.34.0-0ubuntu3
  ProcVersionSignature: Ubuntu 2.6.38-8.42-generic 2.6.38.2
  Uname: Linux 2.6.38-8-generic x86_64
  NonfreeKernelModules: nvidia
  Architecture: amd64
  Date: Mon Jun 13 03:41:20 2011
  InstallationMedia: Ubuntu 11.04 "Natty Narwhal" - Release amd64 (20110427.1)
  ProcEnviron:
   LANGUAGE=en_PH:en
   PATH=(custom, user)
   LANG=en_PH.UTF-8
   SHELL=/bin/bash
  SourcePackage: empathy
  UpgradeStatus: No upgrade log present (probably fresh install)

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