These are steps that might help diagnose the issue.
1. Check if your system has the latest windows update.
2. Even if the "Automatic Windows Update" service has been turned on, cross-verify from the Microsoft Windows patch update download page that your system has the latest update.
3. Restart the service.
My guess is that it tried to get the download but since the service was not running well. It caused the process svchost.exe to EAT up memory.
If you have more than 2 ati2evxx.exe process running in the process list, then do the following:-
a) Give a search *ati2evxx*.
c) If there are more than 2 dll files, then leave the one in c:\windows\system32
and rename the other file to say, ati2evxx.dll.old.
b) If there is only one process, then rename the file and leave ati2evxx.exe as it is.
Statutory warning: It worked for me without any adverse affect but I cannot gaurantee that it will work for you as well perfectly.
