Prehaps i should bite the bullet and buy an up to date version...
Just make sure to download the
trial version first! Sometimes, capture hardware and capture hardware just don't "play well together", and it's usually best to use the capture software that's specially made to work with your hardware. As Ron mentioned, your bundled version may have been tweaked to work with your hardware. Or, your bundle may have included some other capture software, and Video Studio may have been included just for editing and making DVDs.
Once you have a digital video file on your hard drive, you can use the video editing and DVD authoring software of your choice, as long as it works with your video file-format. (The Ulead/Corel programs sometimes have trouble with some more-compressed files... Formats like DivX, Xvid, MOV, and MPEG-4 seem to cause the most trouble, but MPEG-2 can sometimes be trouble too... The most trouble-free format is AVI/DV, at 13GB per hour.)