I still have this, however, I have noticed a few things.
1) Background music appears unaffected UNLESS there is forground sound ( ie triggered ... thing voice, spell sound, clang, that kind of stuff ). I have also fiddled endlessly with the wow sound settings to no avail.
2) This appears to be worse where there is more people around, and the more people, the worse it gets.
3) For the TBC update ( or maybe the small patch just after it ), I noticed the fmod was upgraded ( the files are exactly the same size ... very tricky of them I think ). I haven't lurked around the fmod forums, but having used it before with OGRE ... I know that bad design choices can cause issues like this.
4) When I put the original dll and the new dll through strings to look at the symbols ... I can see that they are built on different machines. There is a lot of differences in the added stuff , but the actual fmod calls seem the same ( meaning it looks like they got fmod source, and compiled more than just default stuff in there ).
If I had to take a guess ... I'd say that blizzard upgraded fmod versions, and maybe fmod changed the way they do multiplexing of the sound streams or something. I seemed to recall some fmod woes I had like this that if you didn't feed it into the buffer fast enough it looped over the last chunk it received ( which sounds like what I'm seeing ). I can't be sure, but it looks like maybe they added a different structure around the core fmod libs ... perhaps slightly less efficient. Something that under windows was not an issue, but under the strain of emulation ( and a different memory structure ) is just enough.
I tried replacing the fmod dll with the original ( with little hope ), sadly this cause a game integrity error, although this was only AFTER I tried to log in ... until then I got the intro music just fine. I'd bet if the cx guys ran this through the debugger before and after, there would see the difference. Perhaps it's the secure template stuff they added for security ... who knows.
If anyone else notices anything ... post your comments.
/sr