I've already troubleshot wordpress (plugins, theme, functions.php) and it didn't resolve the issue. It's a pretty new install anyways so that was pretty easy.
So is there some setting I can change in Ampps to get this working?
I've decided to downgrade a bit as I do not see many people having the same issue so I tested 3.5 version and it installed correctly but had the same issue - nothing is added to /etc/hosts. I chowned the file to ampps:ampps as far as the Ampps is having that ownership but again had no better luck.
Opening the my.arlo.com login page requires you to put up the web address my.arlo.com into the web browser. If you can’t sign in, you can make use of the Arlo app on your mobile phone. An Arlo login window will require you to enter the email address and password of your Arlo account. In case, you don’t remember the arlo login password, click on ‘Forgot Password’. This will redirect you to the page where you can create a new arlo login password.