No Sound Devices or Webcams Displayed in Audio and Video Setup

On my desktop system on both MSN Messenger and Windows Live Messenger I am
unable to do voice or video chat because in the setup wizard for audio do not
display any of my sound or recording devices or webcam in the dropdowns to
configure these settings. As I go thru the config this is what I see:

http://jg-solutions.com/images/no_devices.bmp
http://jg-solutions.com/images/no_recorders.bmp

However under the sound control in Control Pannel these are the actual
devices available:

http://jg-solutions.com/images/actual_devices.bmp
http://jg-solutions.com/images/actual_recorders.bmp

Additionally these devices both work fine in Yahoo Messenger and Skype, and
also MSN Messenger works on my Laptop just fine, only my desktop suffers from
this problem.

Desktop is running Win XP Pro vs Win XP Home on laptop. I have been unable
to find anything on this problem anywhere so far.