F R U S T R A T E D! I have been trying to get this set up all day. I've tried everything in this thread and still no luck.

OK - so starting over, here are the steps I have taken....
- Added device in Bluetooth
- Left ActiveSync UNCHECKed
- Added COM PORT 6

Went into External GPS
- Changed PROGRAM PORT to COM 6
- Left Hardware at NONE

Went into LIVE and set it to COM6

Got error saying could not work with GPS device...

R E S O L U T I O N
Well, many hours of frustration and I finally got it. First, I uninstalled MSLIVE and reinstalled it. Then changed my settings to the following:
Here are my settings-
UNDER BLUETOOTH SETTINGS
- I discovered the device
- Checked ActiveSync
- Chose COM 6 in com ports

UNDER GPS EXTERNAL
- Chose COM3 in Programs
- Chose COM6 at 57600 baud in HARDWARE

IN LIVE APPLICATION SETTINGS
- Chose COM6

TADA - those are the settings that worked for me.