So I'm trying out encoding on my main box -a Win 2K8 enterprise box running 8GB RAM with lots of disk, 5600+ dual core Athlon and the AMD 780g chipset.
After much trial and error I've settled on Xilisoft Video convertor - seems to be very flexible BUT trying to convert a TS stream into MKV always gave me a BSOD with the ATIKMDAG.sys as the fault.
Web searching shows this is a real issue with no apparnent fixes - just AMD and NVIDIA blaming MS and vice versa (happens with Nvidia too)
So long story short, I uninstalled ATI CCC and set my graphics card to use the default MS VGA drivers. No error now.
What a mess and yet to be fully resolved!