Vii Plus Loader Vcds 'link'

The loader pops up, says "OK," and launches VCDS. The green status bar shows "Plug & Play" and "VCDS 24.7." However, when I go to Options -> Test , I get:

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Update the firmware on the interface chip (like the STM32 series) to remain compatible with newer versions of VCDS. The loader pops up, says "OK," and launches VCDS