2.-Download and install AVR Studio from here, if the link don't work try this one (you must register). When your are installing it, when it ask about "Jungo Drivers", say always "Yes, yes and yes!" (are AVRISP drivers).
3.-Now AVR studio will only let you program ATMEGAS in assembler (yeah, sure). For C/C++ you must install the WINAVR (AVR GCC). It will automatically fuse with AVR Studio, so don't worry about anything else... The main page is here, and the direct download here. After download, install it please.
4.-Now plug you AVRISP programmer and make sure the drivers are well installed, if you want to know more about AVR studio and AVRISP please read here (very suggested).
5.-Download the Fail Safe firmware (or code), to download the one i'm using in the video click here. Lasted updates will be published here. You can also download the HEX directly here, if you want... ;-)