I don't have a BU303 so I don't know if this is gonna be much help but these are my suggestions and stuff that I've learned through using my Earthmate receiver.
Obviously the device is receiving power else it wouldn't have a flashing light. Take a look in your Device Manager (right-click My Computer > Properties > Hardware tab > Device Manager) and ensure the device is listed in there.
If it is and it's still not working or if it's not there, try unplugging the device and plugging it back in. Just a suggestion but ensure it is in the same USB port from the start. I learned with my receiver, once I loaded the driver for it, it would only work in one specific port. Don't ask me why but I've noticed that with some USB devices sometimes.
If it was a serial GPS I would suggest using HyperTerminal to connect to the serial port (4800, 8, N, 1) and checking the data following through there.
NMEA data is legible numbers and stuff that would scroll by. If the device was working properly you'd be able to see the NMEA data. If not, you would see garbage (symbols and stuff) coming from the device. Remember, that is for a serial device and I don't know if it is possible to do that with a USB receiver.
Attached is a program that I found in a Utility folder that was with the driver for my GPS that converts it from USB to serial. I don't know if it will do you any good but it appears to be a GPS test program to see if a Earthmate device will provide lat/long. See if it will work for ya.
EDIT: Another thing you may want to try is reloading the driver. I've had to reload my on a couple of occasions when it didn't want to cooperate.
Good luck,
Derek



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