Ok, I decided to dig in again this afternoon..
I uninstalled all my USB drivers, and unplugged the USB to my APC40. I then scanned for hardware in Device Manager, and computer flashed SSCOM and then installed the softstep as USB Audio Device in Device Manager.
I then reattached the APC40 and the computer flashed APC40 and then installed the APC40 as USB Audio Device in Device Manager (The Second USB Audio Device, no (2)...
I then started up Live 8.2.1, and the APC40 lit up and works normally.
I then started SoftStep, and it initialized with USB Audio Device (2) as input/Output Ports, and Midi Yoke 1 as outputs for all the pads. With the exception of Pad 1, the lights work as expected, and I can increment/Decrement presets as expected.
For Pad 1, the LED on the hardware works as expected, but the software indicator does not come on, although the pad seems to work in sensor view. Nevertheless, there may be some issue with the hardware, since I have installed/reinstalled Softstep several times with the same issue.
In Ableton, the only devices enabled are the APC40 (USB Audio) - the label APC40 does show up, the Tranzport I/O, and Midi Yoke 1 (only Track and Remote). No sync for anything. There is midi in when pads are pressed (according to the MIDI in indicator - I haven't assigned anything yet, but it is a good sign)
However, two (disabled) instances each of Audio Device (2) are visible in Live, which I assume are the inputs for Standalone Mode, and will have to be enabled if unhosted.....
So, with the exception of the software LED (please advise), if I connect and initiate in the exact order as above, it seems to be working. I haven't tried nanoLive yet (which uses Bourne software) for my nanoKontrol, but I'll hold off on that issue for a bit.
1. You really should have a driver or a live script if possible, at least for WinXP - I don't know what can be done, but Stray at www.NativeKontrol.com
has done marvelous work with nanoLive and Bourne.
2. There should be an installer that places the Softscript folder automatically in the Program Files section - I didn't know about that until I found it in the 1.099 manual. The updated manual is only mentioned in the context of the mac (1.099); WinXP was pretty much leftout in the 1.031 manual, although I may have missed it. (Obiously I haven't tried to save/recall presets from disc yet)
I'm going to run through your Live Demo now and see if it works......