DO THIS -

Disable your Soundbalster 16 Emulator in your device profile. Its used for legacy games, and if you dont run any games in DOS, you dont need it. It caused me heartache for 2 days trying to figure it out.

Boot up in safemode.
Disable in Hardware profile.
check autoexec.bat and remove any command-line statements setting soundblaster
IRQ/DMA settings.

Everything will be fine after that.

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AMD 750@1050
Mushkin Rev2 128MB
Leadtek GeForce2 GTS
ABIT KT7-RAID running RAID 0
2 IBM 75GXP 30 Gig