I made a mistake when looking at the library V-USB. It seems to require a processor that is 16 Mhz or faster, and the Arduino Fio is only 8 Mhz. I do have a Arduino Pro 16 Mhz that runs on 5 volts, but I also have an Arduino Uno, which is 16 Mhz and has a 2nd chip on it, an Atmega8u2 which acts as a USB Device. This means I’ll still be able to get this to work, but I’ll have to use a different chip than I originally thought.
Other than that not much else is new. I plan on working on getting the USB drivers working on the Atmega8u2 so it shows up as a keyboard and does something simple, like press ‘A’ every 2~3 seconds to verify that its working.