Just Purchased I/O magic DVD multi ...windows sees it as external disk drive.WTF?
I'm having the exact same problem as you, to the letter, Staples and everything. Also, like you, I am fighting the urge not to send this 90$ hunk of #$*&^## back through their window.
Sorry that I don't have any helpful advice. If you manage to get yours working, let me know, and I'll do the same.
Edit - I can't believe it censored out the word #$*&^## (starts with c, sounds like clap).