Well.. I think I have gotten around the port problem. I changed the listening port to '5234' - from 1234 , and now when I bring up the Converter application, netstat shows me something listening on that port, and the popup about mediahandler not connecting is gone.

But now if I drop a WMV file on the app, it does not do anything at all. No error message or anything. I have tried to switch it to manual mode - still nothing