I've been searching all over the net for a solution to this problem only to find unanswered post.
I too was suckered into the cheap (and cute) Iogear Micro USB Bluetooth GBU421 dongle (spelled out for the engines). The default Widcomm application has the dumbest provisions that prevent someone from using HID devices without a passkey. Luckily, I found a solution.
The following steps were completed on Windows XP x64 and was not tested on Windows XP 32bit (although it should still work). In order for this to work, you must uninstall the previous versions of the Widcomm software (in add/remove programs).
You will need 7-Zip, Winrar, or any other multi -compression reader.
QUOTE said:
Step 1: Download (or use the provided CD) drivers for the dongle. You can get them here:
http://www.iogear.com/support/dm/driver/GBU421
Step 2: Download the old Widcomm 5.1 driver and application. I found one here:
http://rs162.rapidshare.com/files/10589433...comm5101100.rar
Step 3: Extract the Rar file of the 5.1 driver and install the application. The installation will complain that it can't find the device (this is expected) so just click No and continue the installation.
Step 4: Extract the new drivers that you downloaded from the Iogear website.
Step 5: Inside the newly extracted folder you will find four files. The one we're after is the large (around 125MB) file named BTW.exe (note the uppercase as the lower case one is just an icon). Use 7-Zip or Winrar to extract this file as it is merely a zip executable.
Step 6: Once your files are extracted, plug in your dongle and open your device manager. Windows may try to find a driver for the device but the driver will fail. Locate the driver manually using the "Have Disk" option and find your driver inf file. It will be located in the Iogear folder that we extracted earlier. If you're not sure if you have Windows XP 64bit, then locate your inf file in Win32/drivers. (XP 64 users KNOW they have XP 64). Choose the btwusb.inf or btkrnl.inf file to install your device driver.
The driver should successfully work however you'll have to tell the Widcomm application to start the bluetooth device. It may take a while and even crash explorer a few times during this process. Don't worry, it'll start back up automatically. Open your device search and pair your Wiimote with the returned "Skip" option for the pass key.
I could only test that the devices paired up and could not confirm if the device actually worked as my son requested his wiimote back. If anyone is interested in putting this guide in layman's terms with pretty screenshots, please do as I won't respond to technical help because the instructions are too nerd.