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One of the causes seems to be having a virtual CD/DVD enabled using Daemon Tools ...
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Thanks I don't have any virtual cd/dvd installed but I did have problems with the driver on my physical installed DVD drive and it looks like fixing that fixed xbmc also
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Can you expand on what the problems with the "driver on my physical installed DVD drive" were and what you did to fix them. Lots of people have reported problems like yours, so your info might be helpful to them.
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Under my event viewer had the following error over and over again "The driver detected a controller error on \Device\Harddisk0\D."
All this with eventID: 11.
I removed my DVD drive from device manager and reinstalled it then went out and found an updated driver from my manufacture for my dvd drive. Once I got that updated the errors disappeared and xbmc launched with out issue.