I'm having the same issues as OP. Drive reads discs fine with original drive, new drive + 80pin cable (Manhattan) + IDE2SATA (Startech) makes the disc drive whir and not read the launch disc. I put the OG hard drive back in, it's fine. Have tried multiple drives from 1 TB Blue, 2 TB Green, and another 2TB Surveillance drive to no luck.
Setup: SmartXX modchip on 1.0 box.
I've checked the cables and jumpers several times, but I'm going to order another Startech and see if that works. I'll also load up the Cerbios6 for 1.0 in the interim.
Any other things I may have missed along this journey??