Well the previous poster did not follow through. I asked him to deal with the next person asking the question so I would not have to keep doing it forever

.
I will just post the solution and hope that it stays instead of disappearing once it is shown in public.
Basically it is just an expression of the fact the the US policy toward consumer protection is total crap. Customer support in the US told me to buy a new unit

If you simply go to the Canadian panasonic site and click on support, drivers firmware and search for
CFVDW07M
You will find a new firmware that allows it to work with any computer, and meiwds that works with any computer (at least using 2k or xp, don't know about Vista)... good luck hopefully they don't remove it.