Cannot play local WMV in silverlight MediElement

Question

Hello,

I am trying to play a video in WMV format in a silverlight MediaElement.

<StackPanel>
  <Grid x:Name="LayoutRoot">
        <MediaElement x:Name="media" Source="Bounce.wmv" 
    Width="300" Height="300" AutoPlay="True" />
    </Grid>
     </StackPanel>

This does nothiing.. but if I change the source attribute to point to some WMV out on the web it works.

What am I doing wrong? I have the the movie in the same directory as the MainPage.xaml

Thanks,

Nick