Honestly, I don't think that it is a RAM issue.
Do you have at any chance some Divx codecs installed on your system?
I have seen such an error message in the past and it turned out to be a Divx/WMP interference problem.
So, for a starter go to LW>Tools>Options>Player and disable the LW player.
Then see if that has any effect.
If not go to this site and try to play a game there (if it is indeed a Divx issue, then you should get the same or similar error messages when loading one of their games:
Pogo.com: Play free online games! Win big prizes!
Cheers
FOTH