Here you go, straight from the Morpheus folks--the reason we are all having these problems:
We understand that some of you are having difficulties connecting to your Morpheus User Network. As you know from recent newsletters, Morpheus has been preparing to substantially upgrade the Morpheus software. Unexpectedly, one of our software providers made a significant upgrade to their technology that is currently incompatible with Morpheus.
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Seems the Morpheus folks are fast at work on something they call the “Morpheus Preview Edition” that will soon be available for download to correct the problems.
Edited to add this: Don't worry--the folks at Morpheua assure us that they will remain not only free but free of spyware (as always) in the new "Preview Edition" and any additional upgrades.