hmmm...you know, I am currently having the same issue with Nero7 on this particular install of my OS...I have a dual boot system so I've solved it by simply using my other OS, where Nero7 is working just fine..

my other OS is exactly the same as this...XP media center edition..except for the fact I haven't installed SP3 on it yet...but I don't think that's the problem, as I'm pretty sure this existed before I did the install of SP3...I think, note the use of the word think, that it may have to do with how I installed the Klite codec pac...I'm thinking that it might have to do with either the newer version on this install, or possibly the fact that I notice the ffdshow converter icon pops up in my task bar when I'm transcoding....

I'll try and repost when I sort this out..as noted I have been just simply booting into my now secondary OS to deal with this setch...

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So Long and Thanks for All the Files
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Beware of the big 3 insurance companies in Texas! Read your policies carefully (maybe you'll need a lawyer) Allstate, Farmers & State Farm are overextended and their 'coverage' is worthless...a true waste of your money Read This

yep.....that was it in some way...at least the inclusion of the klite codec pac...I just uninstalled it completely, then opened up Nero, loaded a movie to transcode and took the time to watch the preview window that pops up before the option to burn comes into play...it has sound...so in my case I know for a fact that something about the klite codecs are hosing it...at this point I think its the ffdshow option...

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So Long and Thanks for All the Files
_____________________________________________

Beware of the big 3 insurance companies in Texas! Read your policies carefully (maybe you'll need a lawyer) Allstate, Farmers & State Farm are overextended and their 'coverage' is worthless...a true waste of your money Read This