Video for Windows to Windows Driver Model video capture wrapper (definition)
Got an ATI All-In-Wonder 128 or Radeon, like me?
Didya notice you can't use VirtualDub, Microsoft Netmeeting, Videdit or any other cool video capture tools?
ATI has decided to dump VfW (Video for Windows) support in favor of the new Microsoft WDM (Windows Driver Model) architecture.

That's nice, 'xept all those tools above can't bloody use it.

Well that's not exactly true. Microsoft has provided a wrapper that can provide VfW support for WDM-only capture devices. And that wrapper is called VFWWDM.
Three files are necessary to use it:
  Vfwwdm.drv
  Vfwwdm32.dll
  Kswdmcap.ax
The current ATI drivers do not install them, effectively crippling video capture facilities. The newest BETA drivers now install them so there is hope yet.

The root of the problem is MS saying to ATI: "Stop making VFW drivers", ATI saying "Duuh, ok." without checking with the THOUSANDS of people who still need VFW support for NetMeeting (which still has no support for WDM)

Source:http://support.microsoft.com/support/kb/articles/Q192/1/12.ASP