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I'm gonna guess that Cyberlink tech support didn't do anything for you. I have tried them for a couple problems and get responses like 'update your video card drivers' Cyberlink is very lame with tech support.

FYI I just tried VSO softwares ConvertXtoDVD and it did a two pass encode of the same large files merged and it took 5 minutes longer and the result was so visually superior to what PowerProducer did that I uninstalled Cyberlinks and bought the other. It looks like PowerProducer will not do 2-pass and the output has very obvious lines. Not blocks but the output clearly needs some serious anti-aliasing. Get rid of the cyberlink junk and buy the other. The interface is way easier and it is a much better product.

I managed to get past this by changing two settings. Not sure which one was the one that did it. I changed turned off the GPU encoding, which actually turned out to make encoding faster on the new 2nd gen sand bridge i5 with a ATI 6470 GPU. I read somewhere that tests also show that the Intel encoder is better than that on the GPU. I also changed the audio encoding to PCM instead of Dolby. This is under the config button and video/audio tab. I suspect it was the change to PCM audio that fixed the problem.

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