Freelancer Crashing after Splash Screen

Im trying to help a friend play freelancer. After I got him hooked,
he went out and got the game. Now whenever freelancer starts, it shows
the splash screen and then crashes. It is not a problem with drivers or
windows updating, I have gone and done that also. I also increased his
virtural ram, he kept getting errors so I increased it from ~250 to 800
so that it was about 15% used when just running windows. This got rid
of the little popup but didn't fix freelancer. Any suggestions?

.

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