Hi,
It's Adobe CS4, installed from a download.
I've sent you a further message concerning a file that is created by the wizard before it hangs: wa__template.dwt.htm
The problem does seem similar to the other thread, but searching on Google shows that lots of peoples DW seems to fall over with this background "File Activity" being responsible.
I don't really know what else to do - if it's a problem in DW, then no amount of fiddling is going to fix it :(