Yes it makes sense, I will do some research and come back to you in a while, the issue seems to be the adapter itself,
have you checked in the Device Manager to see what the status of the device is?
Also have you connected the device to the IP by entering the encryption code, if all else fails you may need to uninstall the software and start afresh.
I'm sorry - I'm not sure what you mean by entering the encryption code. (Although, from memory, this wasn't something I had to do when I first used the router.)
I have already uninstalled and reinstalled the software a couple of times.
According to Device Manager, it recognises the attachment as "USB2.0 WLAN" but it has a yellow "!" next to it. I have just clicked on "update", having inserted the software disc, but it's come back with nothing.
Just one thought - would Broadcom have anything to do with this? That's the only driver I haven't been able to reinstall properly since the rebuild.