wow thanks for the fast response,
did the dxdiag test and it says my sound card fails at step 10 - out of memory? and some funny error code.
The same error happens on both my sounds cards, Terratec DMX6fire and the Nvidia nForce.
is that the problem? I reduced the hardware acceleration and re-tested and it still fails.
also tried the deleting the sound.cfg file but no difference.
I will probably plug in my SB Audigy 2 at some point as well and test that.
all my sound drivers are upto date and my DirectX is updated as well.