Droid Explorer does not recognize my HTC Incredible S
Part of the problem here had to do with Droid Explorer. There was a bug in version 0.9.0.0 that did not support when adb devices -l returned the "slimmer" format. This bug was corrected in 0.9.0.1.

I just had a breakthrough.
The device is not responding correctly to the adb devices -l because the adbd that runs on the device, in this case the Incredible S, has not been updated to support the newer commands. The -l switch is a newer addition to the devices command. It only knows how to respond to adb devices, not adb devices -l, so it just ignores the -l and responds to the devices request as it normally would.

Since you have an SDK from when Droid Explorer used to install it here is what I suggest.


Uninstall Droid Explorer
Go into C:\Program Files\Droid Explorer\ and delete everything. 
You can also delete C:\Users\Ryan\AppData\Roaming\DroidExplorer.
Open Registry Editor (WIN+R -> regedit -> ENTER)
Delete any of the following (if you don't have one or more that is ok, but delete all the ones you have)

HKEY_CURRENT_USER\Software\DroidExplorer
HKEY_CURRENT_USER\Software\Wow6432Node\DroidExplorer
HKEY_LOCAL_MACHINE\SOFTWARE\DroidExplorer
HKEY_LOCAL_MACHINE\SOFTWARE\Wow6432Node\DroidExplorer

Reinstall Droid Explorer
Make sure you pick the location of the Android SDK that you have installed


The SDKPath is no longer pulled from that config file. But I do actually have plans to put it back in the config file in the future. 

The reason you have to uninstall is because we are deleting the registry settings, all of them. If you would like to try the Advanced Route, you can try the following:

Instead of deleting all the registry paths above check for one that contains InstallPath\SdkPath. This is probably in HKEY_LOCAL_MACHINE\SOFTWARE\Wow6432Node\DroidExplorer, but could be in one of the USER locations as well. Change the value of SdkPath to be your path to where you have the Android SDK installed.