I received my APM 2.8 and I did get firmware to install using APM Planner. I did some testing by moving the board around and I could see the Horizon changing. Then I tried to reload firmware and I must have done something wrong. Now my computer doesn’t recognize the board anymore. However something is going on because the yellow and blue LEDs are blinking alternatively. Did anybody see this problem before and find a fix? I tried it on my Windows 7 and my Windows 8 computer and Device Manager does not recognize the board anymore.
Use Linux, or try to fix the driver hell of windows.
Thanks for the reply. Well I have already wasted 2 days with Windows so maybe its time to look at Linux. However I have to consider the learning curve and time to get Linux going versus asking for a refund on a $28 FC. Actually the full kit cost me $80 including GPS and Telemetry, etc. Also, I did go to APM planner because I could not get Mission planner working on my Win 7 or my Win 8 computer. I kept getting the infamous Net framework 4.0 missing error, but when I try to download and install it, windows said I already have a higher version installed. So at this point I’m really not sure what to do.
Of course, there could be something wrong with it, but most likely there is a driver problem.
There may be new stuff to learn, but otherwise you’ll be stuck in the 90’s forever. 
QGroundcontrol and APMplanner have well described process of compiling too, or you can just download a debian package. Most of the devs use some debian distro, so Ubuntu may be a good choice to try.
Well here is an update. I removed the cover from the APM 2.8 and re-seated the JP2 jumper. Now the green led is still on steady but the yellow led stopped blinking and now the blue led is the only one blinking. In addition, when I plug unplug the the USB cable you can here the regular tones. So it IS detecting the board. But now in Device manager it displays Arduino Mega 2560 under Other devices, but does not assign it a COM port. That seems odd, does it not? I believe there is still hope here though.
My APM 2.8 works fine now. All I did was remove the cover and it started working. Then I put the cover back on and again and the computer would not detect it. Then I loosened the cover screws a bit and it started working again. Now I can’t get it to fail. I am not really sure what is going on but at least I have something to learn with.