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I have a MSI 865 PE motherboard. My front usb connectors JUSB1 and 2 do not recognize my Verbatim USB-2 drive but works with my compact flash(USB-1)reader. It also locks up the usb mouse and keyboard when it's pluged in. The 4 back USB ports work fine with the Verbatim. I can't find any documentation from MSI saying these 2 ports are different than the back 4 ports. By the way Verbatim support was no help either.
What windows do you have?
Did you load the motherboard drivers? - Looking at the msi site probably not, as it does not mention the intel chipset drivers
you may wish to consider a bios upgrade as well.
I fixed it. Pin 10 on the mother board was run to the front USB's. It's called USBOC. It did not look like it should be there so I unplugged it and the Verbatium worked fine. I wished I knew what that pin 10 is for.