Does your computer have more than one USB port? For some reason or another my computer only recognizes some devices in some (for example, I have a real finicky printer/scanner/fax combo that ONLY works in any external multi-port USB hub, and I've had troubles connecting my phone to some ports but others work fine). Windows should recognize it as a new device and try to install new drivers at that point.
Other thing to try is a different computer. If you're still having the same problems by then, it's likely the camera's fault.
