USB 2 is backwards compatable with USB 1.1 so there should be no problem with any USB device on USB 2.
What Windows version are you using?
W2K and XP should see it automatically when plugged in, and automatically load the in-built drivers for the player.
If W95 or W98 then you will need additonal drivers to let Windows 'see' the USB hardware and install it as a 'Removeable Drive'. These drivers may not be available for the older Win versions, i.e. the player may only work with W2K or XP.
Also, installation of drivers, (and hence the installation of the mp3 player), may be inhibited by system administration rights. This is usually the case on corporate PCs. I assume this is your own PC you are trying to install the player?