Similar problem, though mine happened at a different time.
(My exact problem is I either a: use the CD to load the Sims, use the shortcut in my menu to load the sims, or go directly to the file in my Program Files to load sims.exe. The "The Sims Deluxe Edition" loading screen appears, and then promptly dissapears. Then, I'm treated to a "'The Sims Deluxe Edition has encountered a problem and needs to close. We are sorry for the inconvenience.' screen. I have contacted EA, and they sent me a canned 'This is how you install it, and make sure to close all other programs'.)
I know my copy of The Sims Deluxe Edition is not faulty, since it works on my mother's computer. I know reinstalling it doesn't work, because I've done that roughly 7 times, already.
I know that there is nothing wrong with the way it interacts with Windows (unless there is something wrong with my Windows CD, so installs a bad version), since I have changed hard drives and reinstalled windows in hopeing to get it to work.
I know changing the compatibility from XP to 2000, 98, Me, NT, or 95 does not fix the problem - in NT compatibility mode, it even said it was the incorrect CD.
I know it's not an issue with my drivers - it was doing this before, and after I updated my video card drivers - and before and after I upgraded to DX9.02.
I have Intel Integrated Audio, and I can't find any drivers for them.
I know that I don't have this elusive codex file - in about 15 min (after I reinstall it yet again) I'm going to give the 'making a shortcut and putting -nosound after it a shot.
If anyone has any further fixes or ides, PLEASE. I've been tearing my hair out for quite some time with this, and I don't want to have to wait for when Sims 2 comes out (I get a net computer then. ^_^)
Oh, and I don't have the codec.
My comp's stats are:
Western Digital 80 gig HD
Intel Celeron PII 633 mhz (yeah, it's sucky. )
Intel 82810 integrated video
Intel Integrated Audio
Windows XP
128 ram
DX 9.02