What I have tried so far.
1) Reregistered and reinstall WMP
2) K-lite code pack: use software decoding for h.264
3) K-lite codec pack: use LAV hardware decoding for h.264
4) Set paging file size to 4000 mb.
5) Set dedicated video ram in bios from 64 mb to 448 mb.
Anyway after 3-4 hours of playing - I see errors for all of my .mp4 files - "You computer is running low on memory ..."
Currently the fix is to convert all videos to vp8 codec. So far it seems a solution.
When I have time I will try:
1) look for another h.264 codec
2) try different Intel HD graphics driver.
I don't think it is a bug of Xibo Player. Highly likely it is a bug of windows media player or graphic card driver.
I haven't noticed any strange activities or problems with memory in Task manager, resource monitor, performance monitor (paging file counter).