Windows Media Player is proprietary software from microsoft, and as usual, by default will rip files to their proprietary format. i recommend winamp with all necisarry codecs. such as divx. divx should play any type of .avi file.
please also see this
sticky:
MAJOR TOPICS for Open Discussion HELP (Click Here)
you can either browse them all and get to know the LW software alittle better, or you skip on down to the codecs part.
btw, as the aforementioned codecs post says, divx can be freely downloaded here:
http://www.divx.com/divx/player/