A patch is available for The Phantom Menace, you need it if you use DirectX 7. You can get it from ftp://ftp.lucasarts.com or http://offsite.newswall

Here is the readme from the patch:

Star Wars: The Phantom Menace Update 1.1

This program will update The Phantom Menace to version 1.1 In order to use this update, you must have the full retail version of The Phantom Menace (1.0) already installed.

If you are having any other problems that are not fixed by this update, please check the Troubleshooting Guide which is included on the The Phantom Menace CD. You can access this through the game's launcher.

This update for The Phantom Menace 1.1 has been modified to:

- Address the error that occurs when selecting Joystick Options and Video Options under Hardware Configuration on the game's launcher when using DirectX 7.