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I am sorry that you have not been helped yet. I just came online and saw your question.
If you have the old speed sensor still, clean it up and look for the part number and post it here, as well as posting the part number and brand of the new one. I suspect you have the wrong speed sensor. There are some issues with the replacements from parts stores not being correct for this vehicle
Ok, that is the correct sensor, but I suspect it is faulty. If you have a scan tool with live data, take for test drive and see what the mph readout on the scan tool says. If no readout or erratic, replace the sensor again. If good readout that doesnt fluctuate while the gage is fluctuating, then it is the IP Cluster. I suspect the new sensor is defective out of the box
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Ok, that means the vss is good. The scan tool gets data from the ecm, which is where the vss signal is sent to.
So, this means that the IP Cluster is bad or a problem with either a loose connector at the IP Cluster or short in the wiring from the ecm to the IP Cluster
It is possible you pulled a wire loose or connector loose, so you do want to check that.
Yes, the IP stands for instrument panel.
While it doesnt happen often, it is possible for the vss signal to damage the IP cluster.
But what points to the IP Cluster at this point is that you are getting a correct reading on the scan tool - that tells me that the vss is working as intended and that the ecm is receiving the correct signal. That leaves either the ip cluster or wiring to it
The signal goes thru several things including the speed control module, ecm, clockspring, brake switch, IP Cluster, and abs control module
It is replaced as a unit or you can send it out for repair
Because the cruise control circuit does go thru the cluster, it would stop working with it unplugged
Ok, sounds good
I will opt out at this point as I dont know what else it would be. I will open this up to other experts to see if any have an idea on this.