Ugh. Looks like I'm going to have to do this the hard way tonight.... I looked at the swizzle code (what a non-compiling mess) from the XDK, and of course, YUV support is not there, either.
It seems you can't use YUY2-formatted textures as textures, they only work as overlays, and only directly to video memory.
Perhaps what MIGHT be able to be done is to use a non-displayed portion of video memory to put the overlay on (Open another D3D Device?), then read that portion of video memory back into a texture surface?

AARRGGHHH!!! It's either that or directly translate the YUY2 to ARGB/swizzled, which doesn't look too nice, either.
I want get video working for my screen shots in MXM without using overlays.... that way, I can have multiple video textures (for ex. backgrounds and screenshots) or use video textures on 3D objects.
Any ideas would be greatly appreciated. Thanks