Ever seen this message.
It seems that when you have Office 2010 64bit isntalled, or no office at all, this message is generated by SharePoint when trying to open a list in Datasheetview.
The reason is that it depends on functionality that is part of office 32bit.
So , how can we fix it. According to Microsoft there are 2 methods. Take a look at this page to see which methods.
I think there is only one (is also mentioned on the MS support page). Install the 2007 Office System Driver: Data Connectivity.
After installing everything is working as intendend.