This is exactly the same situation that I'm having difficulty with. I think the configuration utility assumes that MS Vista is MS NT/XP cause it is asking fot the detonator-driver 45.23 or better (I have Vista Home with a Nvidia card and I'm really sure it does not use the detonator driver)
Anyway, I've isolated the problem and it seems based on the hardware scan of mine, there is OS and driver problems listed below (truncated to focus on the real issues):
[OS]
Name=WinXP
Version=Windows XP v5.1 build 2600 Service Pack 2
Service Pack=None
Status=Pass
--------> Clearly the machine is currently running on Vista not WinXP
[Video]
Video Card Name=
Video Memory=512
Desktop Resolution=0x0x0
DirectX=DirectX 9.0c (4.09.00.0904)
OpenGL Version=2.1.1
OpenGL Vendor=NVIDIA Corporation
OpenGL Renderer=GeForce 7950 GT/PCI/SSE2
NVidia Driver=(null)
Vid Card Status=Warning
Vid Card Driver Status=Fail
GL Status=Pass
DX Status=Pass
--------> Could not recognize the name of the video card even though OpenGL Renderer could clearly identify the GeForce 7950 GT
[Audio]
Sound Card Name=@oem55.inf,%bdadevice.devicedesc%;Ultima ATSC-LGMT Digital TV Tuner
Status=Pass
---------> This is even more ridiculous.... my sound card is a SignaTel Audio not a ATSC-LGMT Digital TV Tuner
So basically Im screwed and cant play this game unless I disable Sound and disable movies from the SWKotOR2 Configuration Utility. But then what is the fun in playing the game without sound or movies???? So now I've given up playing unless somebody could help out with this situation, then I will be very..very...vey grateful.