Hi Carl,
Thank you for your reply.
I downloaded windows live movie maker yesterday but I am unable to capture the video. it says that the "usb 2861" might be running with another program. I get the same error when I try capture with sony vegas. I was told that sony vegas cannot capture usb video only via firewire.
I purchased a device that does not work with the original software "power director", it does not work with sony vegas and it does not work with Windows live movie maker.
I don't understand why "ION video 2 pc" is using power director software, because clearly I have now purchased garbage.
What are my other options, any other program recommendations.
(thank you again for your reply)