I doubt that it is an issue with your computer, hardware or software. Launch (Yahoo! Music) uses Windows Media Player to play their videos which are stored, transferred, and played in the WM9 codec. If your computer plays other WM files, then it's most likely skipping due to bandwidth or net congestion issues. If you want to test and verify this, first try playing
this song in Windows Media Player. After that, try downloading that link using
Net Transport and then play the downloaded file.
You'll know if its an Internet connection problem if you still have the problem the first time but not the second time.