Have you tried cleaning the rubber tire that grabs and spins the disc??
I've fixed alot of non-working CD drives with the same symptoms as yours by just cleaning them. Same symptoms as yours usually- computer knows theres a drive there, but CDs are not recognized. On the CD drives and burners I've done this on, about 7 of 10 times it fixes it.
Use some kind of rubber roller cleaner preferrably, but you can use something like isopropyl alcohol if its all you have. Take a Q tip with the cleaner and just clean the circle rubber tire. :bigsmile: Sometimes it can work wonders, the tire needs to be grippy, or it cant spin the CD properly.
You can also try to clean the lens as well, but only use a dry Q tip, on the first try at least, and be VERY VERY gentle with it.
Just a suggestion anyway, another possibility is that the drive is kaput like these guys said.
Oh sorry, I didn't see that you said even the bios can't see it, cleaning isn't the answer.