WLM Not playing videos, says I need Flash, but I have it installed

Question

Okay, I originally had a topic going in Microsoft Tech Support, and was told to come here, so I'll copy my original post there.
Which version of Windows Live Messenger are you using ?
Version 2011 (15.4.3538.513)
Choose your Operating System version :
Windows 7
Choose your firewall manufacturer :
Windows Firewall
Are you connected through a router ? If yes, did you try bypassing the router ?
Yes
Additional Details
Okay, since I bought and installed this version of Windows I have been having a problem with WLM, which has just now gotten to the point where it is becoming a hassle. Whenever I send or am sent a video link I will get an error that says "To send or receive Windows Live Messenger content, you need a newer version of Adobe Flash Player. Once Adobve Flash Player has been installed, you may need to exit or restart Windows Live Messenger," which is followed by a link to where I can download Flash. The link, http://get.adobe.com/flashplayer/thankyou/activex/?installer=Flash_Player_10_for_Windows_I nternet_Explorer however, is dead. At various times in the past I have attempted to solve this on my own. In brief, what I have done is as follows:
Uninstall and reinstall Flash
Uninstall and reinstall WLM
Roll back to previous versions of Adobe
Updating a pre-existing installation
Reinstall all drivers
Reinstall Windows
thirty minute Prime95 torture test
Fresh installations of WLM with and without MSN+ and Mess installed separately and individually, and in differing orders
Manual and automatic registry integrity checks.
Avast Anti-Virus on and off
Windows Firewall on and off
Comodo Firewall on, off, and at all security levels (I installed this after I had tested Windows Firewall, it is currently uninstalled)
Connected through different routers and directly into the modem
Adobe stress test
Verified Adobe Flash installation integrity twice
After all of this I still get the same error whenever a video link appears in a conversation.
The last post, which lead me here, was this:
Please check how many Adobe flash player you have installed and what version/s are they. To check please access Programs and Features located at Programs under Control Panel. You should at least have 2 listed ( Active x and plugin ). 
Also it is possible that installed flash player is corrupted. Kindly uninstall then reinstall Adobe flash player installation in your computer. For steps in uninstalling flash player, please click on the link below:
http://kb2.adobe.com/cps/141/tn_14157.html
If issue still persists, it would be advisable that you contact Adobe support for proper assistance. I recommend that you install flash player thru Internet Explorer. Also please test flash player intalled by going to websites which requires a flash player to view contents such as youtube.com or adobe website itself.  If flash player doesnt work on these websites then the problem is with flash player, not with Live Messenger.
All posts in between the first and last have been similarly unhelpful, and I was quickly escalated to "Experts" and didn't hear anything for two months. Now I was told to come here, so here I am. I am using the latest version of Flash, and as my original post stated, I have installed it, it is not corrupt, it works on everything and anything except WLM.
I have searched Google, Microsoft Tech, and Adobe tech previously. None of the proposed solutions have solved my problem, and as you can probably tell from my list of solutions, my own research became quite disparate as I neared my wit's end. Any help at this point would be greatly appreciated.
And yes, I checked for multiply installations of Flash Player as he suggested, even though I knew I only had one. And I have also installed it with every browser I could find.

Answer 1

IE9 displays that page and every other page with Flash content correctly. I can start a Flash program directly on my desktop and run it using Flash. My personal assumption was that WLM is pointing to a place that doesn't exist, but I have a friend with a very similar setup, and his WLM is fine. Odder is that on my old computer running Vista I had installed the Seven Transformation Pack from windowsxlive and could watch videos on WLM even though Vista didn't have that capability before. It is only upon installing Windows 7 on this computer that I have had any problems.
I have considered that this is a bad copy of Windows 7, but everything else works perfectly, and I would have had to have installed a corrupted WLM application half a dozen times to still have this error if that were the case.
WLM is a 32-bit program, installed to C:\Program Files (x86)\Windows Live\Messenger