i have approximately the same computer hardware as the original poster. i'm also having integrated sound issues. it distorts the mid-heavy guitar tones on mp3's. i havent had problems with games or movies. i've also tried using headphones instead of my speakers, which produced the same distortion. i'm just wondering if a new sound card would fix the problem. also, as a note to the original poster about updating his video card. i recently did that and bought a sapphire radeon 9250 card from newegg.com so you might want to try there.