Links will not open or play online .wmv files

IE8 won't play WMV video files from links

With IE8, under Windows7 RC, in a webpage there is a link such as: http://.../file.wmv

If I click on it, an error page immediately appears, saying: Internet explorer cannot display the webpage.

Further description of the error is about 'internet connectivity lost', or 'error in link' etc..

But if I just right click on the linkand 'save as', the wmv file downloads, get saved, and opens and play flawlessly in WMP by default.

The system just has WMP as player, configured with all defaults, I double checked.

I have identical problem on another machine with IE8 on Vista, with Divx and VLC Player installed (but all defaults to WMP)

I found reports of similar problems on the internet, but really no true identification and solution of this problem (just the usual bunch of 'use firefox!' or 'download winamp!' comments..)

Any help here?

THANKS!