I installed with no incident on Vista 32 as well. It all works great on the actual VMC machine but I too get the "File type not recognized and cannot play" message on the extender. (DMA2200) I do have the vmcNetflix plugin installed as well. I wonder if there's any way to get the thumbnails for Netflix properly sized instead of squashing them to 4:3 ratio.
HTPC: Intel E6750, 4 GB DDR2 800, nVidia 8600 GT OC, 3,720 GBs Storage, 2 Hauppage 2250s, LG GGC-H20L, nMEDIAPC Black 288BA, Win7 Ultimate 32-bit, Xbox360, DMA2200, DMA2100, 3 1080p displays and an old-school CRT.