Hmm, well I've just cloned a virtualbox image of a Windows XP install from a colleague at work (where we have plenty of licences), and '-vo sdlgl' seems fine on it ('-vo sdlyuv' is poor, as expected). I think this is going to basically be down to what the underlying drivers do with OpenGL, so for specific machine/graphics card/driver combinations it might not be fixable.
'-vo sdl' crashes it on this virtualbox too, so there's probably something fixable there.
I have noticed an SDL alternative called
SFML that might be worth a go, if you don't mind testing for me, but that's still only going to set up an OpenGL context - most of the underlying code will be the same. Maybe it'll be better able to use other 2D scaling interfaces - we'll see.
Other than that, know of any good examples or tutorials for DirectWhatever coding?