According to Microsoft, there is only one PSAPI.DLL file in PC and it is under the 'Windows\System 32' folder. An additional PSAPI.DLL file may be installed by third party programs. If you have other versions of the PSAPI.DLL file in the system, it can cause IE 7 or other windows programs that interact with IE7 to crash at startup.
To solve the PSAPI.DLL incompatibility issue and overcome this problem, search PC or check the program folder of the application that crashes for a PSAPI.DLL file:
1. Open up Search from Start Menu.
2. Find all instances PSAPI.DLL on your PC.
3. Rename all extra copies of PSAPI.DLL files found EXCEPT the one located in "\Windows\System32\" folder to some other names like 'PSAPIOLD.DLL' (never delete or do anything with the PSAPI.DLL file in your 'Windows' or 'Windows/System 32' folder).
4. Reboot the system.
After reboot, there will not be any more conflict and Windows will automatically look for valid PSAPI file in the Windows system folder.
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