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You have answered your own question: don't use hardware acceleration if it does not work as expected.

It's not only the hardware, but also software (device driver) that may not fully support hardware acceleration.

Peterservini wrote:

 

!!!!!I HAVE THE SAME PROBLEM...!!!!

Please do not post in all-uppercase; it is very hard to read!

Also, this is a user-to-user forum; you do not address Adobe here.

To disable hardware acceleration, right-click on any online Flash object and select 'Settings...'.  On the 'Display' panel, uncheck 'Enable hardware acceleration', then click 'Close'.  It's really not such a "difficult change".

Quick fix:

1. Right-click in the standard youtube video window (non-full screen).
2. Choose 'Settings...' from the Flash Player's pop-up menu.
3. Uncheck the 'Enable Hardware Acceleration'
4. Click 'Close'.

Full-screen should now work......

I has a similar issue and was able to solve it.  It appears to be a problem with co-existance of certain adobe software products (so much for regression testing boys).

windows 7 workstation with

Adobe reader 9.x (didn't take note of the exact version).

Adobe flash 11 (latest at time of post)

Adobe shockwave (latest at time of post)

Adobe Air (didn't take note of version).

other software (not important)...

I tried the hardware acceleration non-sense.  Worthless advice as it didn't work for me.

Solution:

Uninstalled all adobe software (all 4 that I had installed). 

Observed that now youtube showed that I didn't have flash installed.  That was a good sign to me.

Installed latest Adobe reader, adobe flash, and adobe shockwave.  Didn't bother to install Adobe air. 

Everything works fine now.

I can't believe this hasn't been fixed yet.  I am a flash developer, and I just spent about 20 trying to debug a fullScreenController class that I am writing because I couldn't figure out why going to fullscreen mode was completely blank.

Turns out it is the stupid plugin update!!!!  By turning off video acceleration my code worked.  20 hours of my life that I will never get back.  Thanks a lot Adobe!!!

Now, can you fix this so that people who use my software don't waste 20 hours of their lives, or should I just put a comment on my product that says, "If you want to view this in full screen, right click and deselect "video accelerator because Adobe has an error and refuses to fix it because they are retarded."