Assuming you have MPE hardware. What happens when you set it to software.
It works in software, but not in GPU Acceleration. Forgive the newbie question, but shouldn't it work in both? There have been times when it's worked just fine and other times when I encounter this problem and until now I've been using the hardware mode.
I've been having this issue and it's driving me crazy. It's random, that some cross dissolves work, and others don't. Seems to affect AVCHD footage. Adobe seems to be aware of the issue.
The work around that I've seen posted by a forum user "Mitch W" is to apply a GPU accelerated effect to one of the clips in the pair. The effect can be turned to "0" so as not to alter the video. The act of doing this, makes premiere see the clip differently, and render the cross dissolve correctly.
Fast Blur, set to "zero", seems to do the trick, and allows it to work with CUDA acceleration turned on. I did notice that the work around was broken by changing the playback resolution in the viewer window. In that situation, I had to apply the GPU effect to the other clip in the pair to make it work again.
I don't know what will happen if I change my playback resolution again...
The 5.5.1 update seems to have fixed a lot of the issues I was experiencing with 1080p/60 AVCHD footage. Specifically with CUDA transitions (cross dissolve) randomly not working, and playback issues when the playback head passed from one clip to another in the timeline.
I'll need to test more to confirm that the issues is completely gone, but I've not seen it come up since the update, which is a very good thing.
Scrubbing is still choppy, but very much improved.