I'm having the same issue.
I was reading DVDs w/ DVDDecrypter, and using DVDShrink to back up my personal DVD collection. One day it just stopped working. I put a disk in the drive, and got the Amber Light Blinking.
Contacted Tech Support, they sent me a new drive. The drive was put in, and flashed to the latest firmware (from v1.04) and worked great for literally 2 days, and now it's doing the same thing w/ not reading disks, and has an amber blinky light.
What's the deal? Others having these problems?