Ipad 2 not charging on USB

It will only charge when the machine sleeps IE screen is off ..

Well, I don't think of it as being "right" but it's a known problem. Basically the ipad is trying to draw more power than what was intended (but still within spec supposedly). Check your motherboard manufacturer for a bios update, some have added support for it. Mine (a gigabyte motherboard) fixed it in a bios update I had to do. They call it "On/Off switching" or something along those lines.

My brother had the first ipad and supposedly even if it says it's not charging it actually is, just really slowly. Like leave it overnight and it will charge. Although at that point might as well just plug it into wall.

So to answer your question, the unit isn't bad. Check with your pc maker to see if they updated their bios to support ipad (1 or 2 as both have the same issue)

I recall that iPad's never charged via USB. I think if you have it off it'll barely trickle charge but take 10 hours.

I talked with my son and we were talking about charging off the computer and we came to the conclusion that the iPad requires more power to charge than a USB port can provide. That's why the wall outlet power adapter is included with the iPads.