You understand that this connects to the OUTPUT of your video equipment right?
It sounds like you have it hooked to your tv's INPUT or you have them plugged in wrong - don't go by the color, go by function. Audio out of video equip to audio in on Ezcap. Repeat for video in & out.
Rite, ive plugged the red,white and yellow plugs from my xbox into the EzCap and ive got a up on the software but wen i press record it still says tht, but i dont no if ive plugged the rite plugs into the EzCap ??