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How to fix your Diamond BVU195 USB external video display adapter after updating to Mac OS X 10.7.3
I use the Diamond BVU195 USB external video display adapter to run three monitors from my MacBook Pro. When I say three monitors, I'm referring to the MacBook Pro as one, a 27" Dell U2711 as two and a 23" Dell U2311 as three. My set-up is as below.
After updating to the latest version of Mac OS X, 10.7.3, my U2311 no longer worked. This is the monitor that's plugged into the MacBook Pro with the Diamond BVU195 USB external video display adapter. The U2711 is connected via a Display Port to Mini Display Port cable, so it was fine.
I've gotten really used to my three monitor set-up, so this was a pain in the butt. My productivity was one third less! I can't afford that sort of extreme drop in productivity. Also, where was I supposed to put my iTunes window?
The solution I found was to first unplug the Diamond BVU195 USB external video display adapter, then reboot my MacBook Pro in Safe Mode (you do this by holding down the Shift keyboard button when Mac OS X is restarting) and let it reboot.
Once Mac OS X is running again, go to System Preferences and click Displays. That's it. Close the System Preferences window and reboot your machine, this time in normal mode.
After OS X returns, plug in your Diamond BVU195 USB external video display adapter cable. The third monitor should come back online and you can use it again.
Honestly, I have no idea why this worked, but it did and that's all that matters to me!

Comments
Thanks for this tip. It worked for me, the monitor came back !!!
I face a new issue now, I cannot rotate 90° my screen. It is no longer available in the monitor preferences. I have put my screen in the standard position while a solution is found :)
Jerome on February 9, 2012
Ah yes, I have the same issue but forgot to mention it in my post; I've temporarily rotated the U2311 back to horizontal. Hopefully this gets resolved soon.
Geof Harries on February 9, 2012