Welcome to aximsite.com.
Whoops !!!, never connect the axim first before installing Activesync, this gives problems.
Delete Activesync completely from your PC using the Windown uninstall option in control panel. Run Disk cleanup.
For good measure, I would download and run Regseeker to remove all traces of Activesync. This can be downloaded for free from
http://www.hoverdesk.net/freeware.htm
Read the instructions for Regseeker, especially where it tells you how to delete entries ( you have to press delete).
Unplug the cradle and then download and install Activesync.
Connect your Cradle and plug in the PDA, you should now be connected.