If you're not using CS, you can't open RAW files. If you are, check the Adobe website under the download section and install the RAW plugin for your camera.
I couldn't find a way to get Canon RAW files to show up in Photoshop CS (at least nor for the Rebel XT). You can download RawShooter essentials for free to modify RAW files and convert them to JPEG. (Or use the software that came with your camera.)
You would think, but I think I heard there was some small change in how the Rebel treats RAW files that keeps CS from accessing them. CS2 has the ability to open the Rebel's RAW files.
If Digital Photo Professional came with your camera, you can use that. Otherwise, lots of people suggest Raw Shooter Essentials as was mentioned previously.
From the original posts, sounds like there is confusion as to what's involved with opening a RAW file. Unlike other formats, you cannot just open, edit and resave RAW files. The RAW file is not really an image at all, it's just the unprocessed data from the sensor. It needs to be converted, and then saved in some other format, like JPG or TIFF. For that purpose, CS2 is a good platform. The RAW files will preview in Bridge, and when double-clicked will come up in Adobe Raw Converter (ACR). You may need an update to ACR for very recent cameras.
The canon software not sure what it's called it came with my XT. Is what I use to retrieve raw files from my camera via the usb port. A friend of mine retrieves his via a card read the same way. See if you have loaded all the software from canon. some nice updates on it to. Ok I went and looked its called EOS capture I have ver 1.3 it is loaded under canon utilities. Hope this helps.
