Here's a wrench in the gears on Paul's theory...
Recently I was capturing some audio with MusicMatch JukeBox because I was not satisfied with the software that came with my PVR capture card because I was having difficulties with the volume of the finished product.
A drive that created the CD should also be able to read it
Anyway, this was done in XP and I burned the files onto cd-r's with a dvd writer. I then took the disk out and reinserted it into the cd-rom in the same pc. It was not recognised so I put it back in the recorder. Not recognised there either So I put it in my 98 pc and it saw and played the mp3's just fine, huh? Here I had a case where the pc that made the disks could not see them but another pc could. Now I could burn the cd as cda files which did work in either drive. Mp3's are listed as a format and has the checkmark in WMP10 in XP however.
I burned another 'semi-successful' disk with NERO but this time set NERO to confirm the burn before ejecting the disk. It reported success but still would not recognize the disk with either drive but the 98SE pc would...
I just went to that same dual-boot pc and booted into 98 instead of XP and the mp3's are seen with the cd-rom!
Sorry I haven't worked out why I'm having problems in XP yet but I wanted to mention that 'things' are not always as they seem.
There's no place like 127.0.0.1