When in doubt, pull it out...
Well anyway, remove all the old hardware in the device manager.
Let it reboot, then use the new drivers when it gets to that step.
The first time I installed a HD, I simply used my laptop one with win98 already running on it.
The Iopener ran, but there were numerous conflicts...like the drive was running in compatability mode for example (c: drive)
Once I removed all the offending hardware, and installed the new drivers, it worked like a charm. (even though the System Properties window showed the Micron logo in it;)
However the HD crashed (actually within a week of the doner computer HD crashing hmmmm) so the second time, I copied the win98, and SE cabs to the drive, and set it up as a generic boot drive from the laptop.
moved the drive to the Iopener and booted...I had the drivers also on the HD (and some in the Sandisk)
No tweaking required, no magic, only a few smoke and mirrors...
When your Iopener is dropping to the cursor window...is anything plugged into the machine at the time, like a parallel port whatever, or usb howyadoin?
It may be some other program that won't let go that is causing the problem.