Here is an interesting slide show that discusses the topic.
http://www.slideshare.net/yampolskiy/malware-goes-to-the-movies-5921391

<http://www.slideshare.net/yampolskiy/malware-goes-to-the-movies-5921391>Mostly
the damage discussed seems to be caused by the media player
pulling malicious code that Windows Media Player thinks are codecs or DRM.
 This is kind of an old exploit that (to me) seemed to be running rampant on
P2P and websites.  I'm not sure if this is helps, I don't think the actual
package is in the media player file, it's just a method to get unsuspecting
users to download their malware.

I'd be interested in what others have to say on this topic as well.

- Mike

On Tue, Jan 25, 2011 at 2:27 PM, Subba Rao <[email protected]> wrote:

> I am having a serious discussion with one of my colleagues about
> embedded Malware.  In our discussions, I have told him about about
> Malware in AVI and other media files which get spread from P2P networks
> etc.
>
> His argument is that Malware inside a media file is considered data.
> When you play the file, the application treats it like data and it
> should not effect the OS.  His argument was not too strong but I need
> some information to show that embedded malware can be lethal to the OS.
>  Any pointer in this subject area?
>
> Thank you in advance.
>
> Subba Rao
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