Welcome to the Forum
1) You may have a dirty Disk, after all this time. Check for any smudges etc. If yes, rinse under a running cold water tap & clean with a non-lindt cloth, from the centre to the edge & leave to thoroughly dry & try again. If not:
2) Go to: Start / My Computer & then Insert Prog Cd1 / When Studio Logo appears on your DVD Drive Icon, Right-Click on that & Choose Explore Disk & Look for S10 setup.exe File. Right Click on that, to Open & Run the Prog. If the Prog tries to Install when you insert Prog Disk1, cancel the Installation.
If the above works, Update immediately to S10.7 (Not S10.8), from the Downloads page. If it doesn't, Post back & you'll be given instructions for installing in Safe Mode.
Im guessing there is something conflicting as i have had problems installing other programs and games from time to time on here.
Before doing any of the above, go to: Start / My Computer / Right-Click on Local Disk C: & choose Properties / Tools / Error Checking / Check Now & do both Error Checks sequentially, in the following Pop-Up
Defragment your Hard Drive & Exit any AntiVirus Prog you may have, before Installing.
NB - You need to do a "Custom", rather than "Typical" Install & choose not to Install either InstantDVD Recorder & Mediamanager/Server, to prevent problems occurring later-on.
If you have S10.6, you need to Update to S10.7 Light Patch, otherwise Full Patch.
As far as I can see, your PC meets Pinnacle's Recommended Specs for Running S10.
ADDED - The so-called "Bonus" Content Disk has a few "Bonus" items, the rest you have to pay for, by purchasing Activation Keys from Pinnacle, after you've Installed the Disk. Since the disk takes-up approx 3Gb of HDD space & has it's own Installer, you may wish to Cancel it's Installation, when requested to do so & Explore the Disk, to decide what you do & don't wan to Install, at a later date. Your priority, at the moment, is to get the Prog to Install successfully.
Good luck