SOUND IN/OUT ISSUES Dell Latitude & WinME

Hi guys, I have a Dell Latitude CPI D266TX laptop with Windows ME (Pentium II w/128RAM); D-Link inet card, 100Mbps, Intel CS110 webcam, USB . I know it is and old one, but I want to do something with it. After installing the Windows ME in it, I want to use regular applications like MSN Messenger 7.0, Yahoo Beta 8.X with voice, Skype 2.5, and maybe any other one.

1.- Trying to use MSN messenger, the other party can hear me, but I can't hear them at all. Sometimes it is the other way around, they can hear me but I can not talk to them. Video works fine, except for the image that gots blue and really bad, if I use it with someother apps open at the same time (it sucks). I already downloaded another driver from Intel (CS110) and I will try it sometime to see if this solves this problem (maybe it was corrupted).

2.- Using Yahoo 8.X does not give me any voice sound (in/out). Video works fine.

3.- Skype gets kind of hanging, and when it works it does not pass the audio test.

I run the wizard test from MSN and Yahoo, and it works perfect. It does not pass thw Skype test. I know the tests may pass because it is run in a close circuit kind of environment, but at least it does something. A friend advice me to install Windows XP in it, and maybe it would solve the issues, but since this is an old laptop, it may get to slow, do not you think so? Also he told me to use Fox instead of MS IE.

Please give me some advice(s) for solving this issues. I will really appreciate your time.

Regards, lh

By the way, I forgot to tell you that I run a driver detective test in it, and it recommended to updated the Intel CS110 webcam driver (which I did) and the Intel 82341AB/EB (pci bus master IDE / USB Universal drivers. Would it has to do anything with this issue? Sorry about that...

lh