Hi, the playback of .avi files and probably all video is blocky and pixel-y and is especially pronounced when fullscreen. I see that this was mentioned 6/22/07, but it's now 1/08. Any fixes? I am using win xp sp2. For kicks, I installed the older version of Parallels 5560 and it has this problem although I could have sworn that at one time it did not. I installed vista ultimate and it too has this problem. I have tried multiple codec packs and they all give the same blocky error. Interestingly, the latest vmware fusion has the identical problem. I would like to have a fix as this is pretty much the only issue I have (so far).