|"Is this likely a hardware problem? How do I tell? If it's a hardware problem, how do I fix?"|
"Is this likely a software problem? How do I tell? If it's a software problem, how do I fix?"
It's more than likely hardware related. Do you get CAPS when it's toggled (try it a couple times to be sure). If so, then likely the LED has simply expired. If not, then the key itself (or possibly cable) is probably defective. May or may not be an easy fix depending on your experience with the inside of a laptop.
"Channeling the spirit of jboy..."