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I had the same problem. Couldn't select a video category.

Before trying this fix, I had tried just producing a video to MPeg4 and then uploading it. For some reason it showed as compressed vertically on youtube, so it was unrecognizable, and yet the sound was fine.

I will try uploading a produced video again, but yes the powerdirector utility has been very convenient in the past, and always successful until this latest failure that has been affecting me for the last couple of weeks.
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