I have the exact same problem. I get the same error during installation and ALL
websites having Flash content generate the same message --- "You need to
upgrade your Flash Player and enable JavaScript to view this content" --- or
words to that effect.

I am running Windows XP Pro with all the latest updates applied. I am using
Internet Exploder 7.0. Oddly enough, I can install the Flash player plug-in for
Firefox, Opera, Netscrape and Safari and they ALL WORK JUST FINE. It's only the
POS IE7 that presents this problem.

I am a web developer and NEED IE to function properly for testing purposes.
About 75% of the visitors to our sites use some version of IE (5.5, 6 or 7) so
it is imperative that I get this problem solved quickly.

Please advise. It's already been 4 days since the guy above submitted his
problem and request for assistance. Looks like Adopey is about as responsive to
trouble reports as Microsloth. Obviously, I'll keep searching the Internet for
a solution since one from you folks seems about as likely as George Bush
growing a brain.

CYA

I am not an expert, but this is what I found. If your computer is a little
older, you may have Macromedia entries in your Registry. That company used to
do Flash. Those entries think that your new download is an inferior version and
won't allow it. This is what I did, your mileage may vary and you assume the
risk:
1. Set a new Restore Point and back up your Registry.
2. Run the official Flash uninstaller a couple of times. Check the folder to
verify deletions. Reboot.
3. Run Dial-a-fix. PM me for details. Reboot.
4. Open Registry and search for Macromedia entries that relate to Flash and
delete them. Reboot.
5. Run CCleaner or Norton WinDoctor. Reboot.
6. Do these things again if you want to see if everything's clean.
7. Run the flash installer. I recommend the standalone installer. You can save
it to your desktop and work offline.
8. Don't waste several days scouring Google for answers like I did.