For some reason WordPress 3.5 stopped allowing the ‘add media’ button to work. Even after using multiple browsers, deactivating all plugins, re-uploading the core wordpress files and reverting themes we still couldn’t get it to work.
Buried in the forums, we found a solution.
In your wp-config.php , add the line ‘define(‘CONCATENATE_SCRIPTS’, false );’
In other words, it used to look like;
/* Absolute path to the WordPress directory. */
if ( !defined('ABSPATH') )
define('ABSPATH', dirname(__FILE__) . '/');
/* Sets up WordPress vars and included files. */
require_once(ABSPATH . 'wp-settings.php');
Now it should look like this;
/* Absolute path to the WordPress directory. */
if ( !defined('ABSPATH') )
define('ABSPATH', dirname(__FILE__) . '/');
define('CONCATENATE_SCRIPTS', false );
/* Sets up WordPress vars and included files. */
require_once(ABSPATH . 'wp-settings.php');
Then just refresh your page, and add media button should work again.
Good luck!