I found the fix! It took me awhile lol.
I'm on Windows 7, running an ATI 9500 card. And, boxee would not work whatsoever. I did some Googleing around, and stumbled across a beta version of the ATI driver...from 9.8 to 9.9.
Of course, it took me trial and error to "fix" this problem. And, i can document it for ya right now.
I downloaded the ATI beta driver from http://game.amd.com/us-en/drivers_catalyst.aspx
Now - this is where it gets kinda tricky - so, bare with me.
I installed it - thinking that upgrading would do the trick. Not so. I did however keep note of the place the driver packaged unzipped to (Should be C:\ATI\Support\9-9_vista32_win7_32_dd_ccc_wdm_enu)
So, i booted into safe mode, removed the drivers - and, when Windows looked for a driver after my restart, it came back with a "Standard VGA" driver.
When i came back from safe mode, i went to the device manager, went to the "Standard VGA Driver" and said "Update driver"
I told it where to look (Don't just go into the 9-9_vista32 folder - select the ATI folder) and, tell it to look there.
Restart - and, tah freakin' dah! Boxee works! No load problems, no errors during playback - nothing. The only thing you really have to fix is the Display blinking, which defaults back to "When media is playing"
Yea, i know - it's a little complex...but, us Geeks can figure it out lol. It took me all of 10 minutes...maybe 15. But, i got it working.
Also - it's gonna be a little different for integrated stuff from intel, and of course, if ya have a different card - say NVIDIA. Hence why i attached the ATI thing to the title
So - hopefully this works for ya! And, Heck - if ya got it to work a little faster, i'd like to know how!