I don't know if that is true with the Newton, and all the other variations of handhelds. But, it is definitely true of the Palm OS.
FaxStf (fax stuff) and other faxing software might "take over" a serial port as well.
I use a QuickTake 200 with a 9600/300 (now upgraded to a G4/450). I much prefer using the memory card from the QT with a MicroTech memory card reader, that connects to the computer via USB. The card shows up on the desktop like a removable. (I don't have an AC adapter with my QT200, so downloading via serial eats up batteries pretty quickly)
The only other thing I can think of might be your memory card itself. I assume you can verify that there are actually pictures on the card, via the camera. Apple's Smart Media is a different voltage than the cards you can buy today. If you do buy a memory card reader, verify that it can read the Apple cards.
Nancy
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