I have precisly the same problem with my WinME, My machine is slightly slower 450Mhz but then I do not think this is related to the hardware. Xolox 1.12 worked fine the first few days, downloaded several divx movies without any problems. The program is, for lack of better words, perfect. Until these problems occure, the very same that you describe. I do not have a solution, just wanted to let you know that there are at least one more xolox user that have the same problem as you have with xolox.