I have been having the same problem after upgrading to Win 7 64bit from XP. The sound crackled and would cut out for 1 sec every few minutes. In addition, the games got more laggy as they progressed, even with video and audio set to lowest levels, even on single player. Audio set to stereo output using onboard sound, 2GB RAM, ATI Radeon 4800 HD, AMD 5600 processor. I have all the latest drivers installed. The problem seems worse when I have my Logitech G35 head
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