Alright, the firmware updater didnt recognize the device (no surprise, after all the trouble this thing has given me.)...
But I guess all the updating of medias player/ updating drivers, etc... the thing works now! WooHoo. What a Pain in the A$%.
Its strange, my work computer had WMP 11, which I had thought was the problem, so I uninstalled it, which put me at WMP 9. Tried to go to 10 (which is whats on the installation CD) Of course XP SP3, doesnt like version 10, so now I'm back at 11. Lol.
Thanks you again Caroline, thought this thing was going to drive me batty!!