Sony Vegas 11 GPU rendered videos look terrible, help!

[Mitalis]

Hello,

I'm running Sony Vegas 11 32bit (Build 682)

Using Mainconcept to render out captured footage of a video game. Here are my video settings for GPU:

https://forum.videohelp.com/images/imgfiles/YLbqt.png

The video renders quite fast, and the end result looks like total crap. Here's the result of the rendered video via GPU:

http://youtu.be/j5gfujxdNl0

Now if I use the same settings, but force the encoding to go through the CPU

https://forum.videohelp.com/images/imgfiles/B1N1v.png

The result looks 100x better...

http://youtu.be/aFhJnFTyvDs

Anybody know why this is happening? I've had this issue since day 1. I'm running a GeForce GTX 470, I've tried different versions of video drivers (currently running 306.23, and no matter what, the end result looks the same.

[budwzr]

It's because Vegas 11 had a MAJOR issue with AVC/AAC after initial release, and had to be patched, so apparently you never updated? So you're using bootleg?