I have been trying for most of today to get youtube to work well on my computer.
Setup:
Windows 7 home 64 bit
IE10 version 10.0.9200.16635
Flash player 
11.8.800.94
Problem:
The player will load about 15 seconds of a video and then the buffering progress bar will stop. It won't buffer any more until the video reaches the end of the buffer and then pauses. After it freezes for a couple seconds the buffer bar jumps to a quarter of the video and then stops again. The video plays to where the buffer bar has reached and then freezes again. At this point it freezes for a very long time and about every 10 seconds or so it will automatically reduce the video quality, all the way down to 260p, then says there was an error and the video can't play.
Other times the audio will start playing again after the end of buffer freeze but the video doesn't.
What I have attempted:
I tried it out on Firefox's latest version, and Chrome's latest version. Same result.
Tried it out on my wife's windows 7 computer(same internet connection) and worked just fine(She had flash 11.5 installed). Tried on the other desktop I have(windows 8) and it worked fine there too(same connection).
Tried uninstalling flash and installing 11.7, then 11.5. same behavior.
Already tried deleting history and cache of both browser and Flash. Still not fixed. Deleted the flash player folder under %appdata%/adobe and %appdata%/macromedia. Didn't work. Tried uninstalling all java versions. Still didn't work. Reinstalled latest java 7 update 25. Didn't work.
Tried using Youtube when I didn't have Flash installed. Worked great. Could even back up the video without it rebuffering. Problem with leaving it uninstalled all the time is that I can't use other sites that use flash.
I also tried disabling hardware acceleration and storage amount to infinite. Neither of those worked either.
Watched wireshark activity while trying to watch a video. Saw plenty of large TCP traffic packets(assuming it is the video) when the buffer would jump but then they would stop while other packets were still going back and forth. Doesn't look like there is a connection problem with my computer.
I also uninstalled AVG just incase that was interfering.
Wish I knew web type programming better but this is beyond me. I am a computer engineer and work in software test but my knowlege is mostly Java and embedded systems. Is there something I am missing with my computer settings? My last guess is I would have to start poking around in the windows registry to fix this. There is obviously something wrong with settings on my computer that either Youtube or Flash doesn't work with well.
Someone know what else I can do?