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Though I have been successfully making videos with VS10+ and 11.5+, I have recently been getting an error message "Failed to encode video 2000:1:1" near the end of the "Share" stage when I am encoding the project to an mpg file. I have found that when I try to use mpg audio or Dolby Digital, the message appears, but when I use LPCM for the sound, the file encodes. I am running Vista Enterprise, and was encoding 4:3, 7300kB/s VBR, 2-pass encode, PAL from the original AVI files captured in VS10+ from my Panasonic DV camcorder (which has all worked perfectly well in the past). I tried installing the 11.5 upgrade-to-Vista pack but this has made no difference. The only thing I have changed is that some of my mp3 sound files were ripped from a CD using Windows Media Player. Could this be the culprit?

The MP3 files could be posing your problem, however it is odd that by just changing the audio format to LPCM you're able to create your video file.

You might try converting the MP3 files to WAV. VS seems to handle WAV files better. This can be done in VS by starting a new project, inserting your MP3, go to the Share step, and selecting Create Sound File. Once you have your MP3 files rendered to WAV, open your project and replace the MP3 files with the WAV files.

While MP3s are a form of audio widely used, they are technically a bastardized video file, where the video is stripped away, leaving the audio layer. NLEs such as VS fall over on some of these, because it is looking for the video that is not there...

... And LameMP3 is one of the chief culprits. If you have been using Nero, I am pretty sure it uses Lame...