Success on loading the software! The file was downloaded while I was at work, and my son installed the "Teacher" version last night. All well and good, he wrote a couple of simple programs. Only to discover that the brick was not connecting to the computer. I tried the mini USB and Bluetooth. removed and reloaded the software, nodda. Niether one would install the drivers correctly.
I called and described the situation to a LEGO support person. He asked what kind of computer I have. It's a Dell laptop. He had me turn off the desktop "Accuweather" app. And now the USB installed fine. I still don't have Bluetooth working, the third of 3 drivers won't load. But I'll deal with that later. The software did an imediate update of the firmware to 1.03E.
I also asked about the battery. I was told that I was not the only one to have this issue. The update in firmware didn't resolve any of this. The bad news is that the core set was given out as a promotional item at a LEGO convention (bricks By the Bay). So we may not be getting a free replacement, as there is no reciept. I'm wating to hear back.
If anyone else is having the Lipo battery issue, and finds a resolution, please post here. I've already gone through two sets of cells trying to get it to work, and testing.
I've tested the battery, it reads 8+ volts with no load. I'll have to gets some leads and test it under load.