I never see this blue led that people talk about, mine's either red/amber when it's disabled, off when it doesn't see motion or green when it sees motion. In my other sims, it illuminates green and everything still works fine (including FS2004)Are you running any Firewall/Antivirus software?
Are you getting the blue light activating?
Updating the games list will cause the software to not see it as "beta"
Running windows firewall and the shield antivirus, have disabled virtually everything but minimal services and still no workee.
Updated the games list and now comes up with Flight Simulator X, but still no workee.