Have you used Live Update to get the latest version of MPT?

Im having the same problem, its a nightmare.  I dont know what to do expect
return the K1 now

At first MPT  said it was up to date,  now i get:

The motorola phone tools  eng 4.12 version identified by master number
030105006523  is not listed as a version thats can be updated.

I cant get this thing working either via cable or bluetooth.

When i manually try and add it the K1 isnt listed!.

Tried it on  media centre, xp pro and vista all have the same problem.   why
doesnt this thing work.   could it be i have an old firmware on the phone?

I just bought a new KRZR K1 today, and was just about to give up
getting MPT to talk to it.  MPT would obviously recognize the KRZR as
it used the correct name, and put up the correct skin right down to
the color.  But it would just sit there trying to initialize, and
never get there.

Reading through the various threads on the subject, I downloaded the
USB driver installation tool from Motorola and the drivertool.exe
file.  I used the drivertool first which removes all the drivers then
reinstalls them. I then ran the USB drivers from the Motorola End User
Driver Installation file.  Have no idea if I should have run only one
of them or if they should have been in a different order.  After I
rebooted the computer (running XP Pro SP2), which took forever to
reboot, MPT finally initialized the RAZR and everything works fine.
Was able to copy the old phone book to the RAZR.  Now I have to work
on ringtones, etc.

Dick