ok i can hear people talking but when i press the circle button it comes up like normal (little guy in bottom corner) except every one thinks my mute is on. My mute is not on!!

its the little blue light not red. I hear ppl saying that it was staticy and some just say there is no sound. Oh and I dont was to "take apart my head set and play with the wires" like some one said above. ( I have the logitech headset like on the top of the screen)