Windows XP New Hardware Wizard does not appear

Running Windows XP SP3. When plugging in a USB device the New Hardware Wizard does not appear. If we go into Device Manager, the new USB shows up as an unknown device. We can open it and tell it to install the drivers automatically which it will do successfully. We've reinstalled all USB controllers, run sysprep -clean, checked registry entries, tried the Microsoft fix, no dice. Any help would be greatly appreaciated. Thank you
spgcsAsked:
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B HCommented:
have you reinstalled the chipset driver for your machine?

i can get you an exact link if i knew your make/model
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Aj8787Commented:
The installation of some USB devices can interfere with the detection of other USB devices. In particular, the installation of unsigned Microsoft® Windows® XP drivers may cause interfere with the detection and installation of other USB devices.
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spgcsAuthor Commented:
We have not reinstalled the chipset drivers. However, this seems to be a Windows issue as the New Hardware Wizard simply doesn't launch. We can still use device manager to install devices automatically
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B HCommented:
"install devices automatically" tends to be the new hardware wizard - unless windows already knows about that device (has seen it before)

if you have corrupted/no/bad drivers for your usb ports, windows won't know what to do with what you stick into them
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mast3rma5on7Commented:
there is a GPO that could be disabled.  This GPO brings up the add and remove hardware wizard application.  Is this machine connected to Active Directory.  Might want to check that GPO.
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mast3rma5on7Commented:
it may also be a Local Policy on the computer as well.
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spgcsAuthor Commented:
Not on AD, USB ports are good (we can still use them), Not on Active Directory. Where would i find the Local GPO?
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Aj8787Commented:
gpedit.msc
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spgcsAuthor Commented:
Thank you but can you tell me the full path within the policy tree?
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johnb6767Commented:
Start>run>services.msc

Is the Plug and Play service started and set to Automatic?
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-eVe-Commented:
Did you use the same USB device before? Try removing the old driver and install again (use the latest version!) :
Remove the USB device, start Device Manager, check 'View / Show Hidden Devices', open the 'Universal Serial Bus controllers' list and Uninstall the malworking driver(s). Reboot the PC and re-insert the USB device...  and behold the reborn wizard. Success!
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orangutangCommented:
Yeah, I'm thinking it's something to do with Plug and Play
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spgcsAuthor Commented:
Reinstalled OS
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Windows XP

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