Video overlay error when opening editing software

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My computer shows "video overlay error" whenever I try to open video editing software. The video isn't also displayed in preview mode of this video editing application.

What is the cause of this?

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It seems that there is a problem with the video card and drivers and this error usually pops out when there are certain missing libraries with the DirectX package (obsolete drivers). Performing an update for the DirectX should easily fix the problem and also updating the graphic card’s drivers is a good thing to do. Then start the software and use it for what you need.

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