LKN, this may sound extreme, but since you just bought your reader today, maybe your best bet is to return it. you may have gotten a dud. OTOH, if the one you get in its place also has this problem, it might be something in your set-up.
That being said, do check to see that your Firewall or security software is not blocking the Kobo from connecting to the desktop. That has been known to happen.
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