Has anyone else had problems with VLC.EXE hanging once you open a Directshow device? It seems to be related to the video device since it still hangs when audio device is set to "none". Both my "Icam320" and "Hauppauge PVR WinTV PCI II.." cause the problem.
All drivers and DirectX are up to date. This happened with VLC for the last few versions, including 0.8.4. Also when it hangs it hangs hard, I can't kill the VLC.EXE process. The machine has to be hard restarted to kill it.