i'm havingh te same issue -
except my avi files don't show up anywhere. I'm very frustrated at this point. Why the heck doesn't this stuff just work.
i had it working a few weeks ago and poof it stopped. I'm not sure if it's because i installed shark inbewteen or not. I just know that now i cannot see my avi files in wmc. I can see mkv files and they play ok.