I was facing problem after upgrading JTAGICE3 firmware v3.4 using
ATMEL Studio v7.0 in IAR for AVR32 v4.2. After spending few hours, I got
to know that IAR for AVR32 v4.2 supports JTAGICE3 firmware v2.x only. So, the only solution is to downgrade the firmware version of JTAGICE3 from v3.x to v2.x
To do this, we need to download a tool which gives the interface to downgrade the JTAGICE3 firmware. Download link To read more about this problem. Please refer the below link. Read it