PC not 'seeing' digital camera when connected.

hi,  This is my first message , in need of some help. Here's the problem.

 

I have a Dimension 4700 with windows XP service pack 2. (3 months old).

Bought a panasonic DMC-LC80 digital camera few days ago. Took the photos, when connecting up with PC , did not recognize it. Camera is on, playback mode on, LCD changes to Mass storage display. It's in a USB port that works. PC doesn't see it.  Took camera and lead to neighbours house, not Dell but windows XP, camera worked there, could see mass storage displayed.

I tried removing all software for webcam and installed Digital camera only , but no difference. I don't have a USB mouse connected. I only have modem in a USB port .

Borrowed a card reader today,  plugged it in tonight and it worked, could tranfer the photos from SD memory card to panasonic software on PC. Looks like that's my option thus far, to buy a card reader, unless anyone has any suggestions for this puzzling problem.

I've spoken to panasonic techician by phone who is baffled also.

Dell tried all they could also, last resort was to do the operating system again, but no guarantees it would solve it. I have McAfee security suite if that makes a difference. I was going to contact them to ask.

thanks , look  forward to any replies.