I have the exact same problem listed in the opening message.
I am running a LCD tv with DVI input.
The recomemended resolution on this LCD tv is 1280x720 for pc.
I can set my graphics to 1280x720, everything on the computer runs great
(looks good and no flicker at all).
As soon as I start MCE, I get the problem mentioned above.
BUT, if I change my resolution to 800x600, MCE works correctly (allong with
MSI 6600GT Nvidia GeForce 6 graphics card (PCI Express).
I have updated the video driver to 77.79 (from Nvidia).
I actually have installed the update, then reinstalled the update again to
make sure it installed correctly.
My bios is up todate (Lanparty DFI motherboard).
I am up to date with all the Microsoft updates.
Thanks for any help,