I've got the same LCD connection problem but with a silly solution.
I purchased the remote on ebay and YY993 controller from dell, rewired the controller to a usb plug, everything was plug and play. But I wanted the screen too, and it was the reason for me to purchase this set. I set up the driver from dell site (R142872) and voila!! working perfect without any kind of delay or anything. I was in the office and could not wait to get home and try it on my htpc.
Here starts the problems, I set up the same driver on htpc but lcd responds for 2 seconds and when I try to press a button it hangs and loses connection. After trying to find a solution for a long time I decided to try it again on my laptop with out chance. It was not working on the laptop either.
I spent many more hours installing different versions reading forums etc. but could not find a solution. So I started thinking where the problem could be its the same !*$# laptop, and it was working the only difference is I was in the office, I even thought of possible interference with other equipment but at last I found the difference. I was using an HP Quickdock in the office.
Sooo, I pluged my laptop to the HP docking station at home and plugged the receiver there and LCD started working flawlessly.
I don't really know if this will help us solve the problem at all but at least it puts a light on. I now know that its a probable USB issue. But what kind of an issue can USB cause.
I'll buy a USB hub asap to try it because I think HP quickdock's USB should not be any different than an ordinary USB hub.
Hope this helps