if you're using Mame32, you'll need to go to options... and check that mouse input box in the controller section...
then just use the powermate as a mouse and it should work... (well... it works like you turn and it moves a little...)
but I couldn't get it to move fast enough to play like arknoid...
good luck...
if it still doesn't work, try go to powermate site and download their newer driver... I believe they have a newer driver in their website....
ps: for your info, I was using Windows Me with Mame32 V.61
good luck to you...
if you can get it to a playable state, plz let us know... I'm interested.... cos it does look very cool...