SWYH stops when Kodi (XBMC) runs

I have Kodi setup on a Shuttle X50 V3 touchscreen PC hooked up to powered speakers, I want to be able to stream from this touchscreen PC to another PC connected to an amplifier some distance away which runs speakers throughout the house.
I am having no problem doing this if i run a music video direct from youtube, the second i start Kodi SWYH crashes.

I have a feeling it is a device grab issue, is there any way to stop it happening?
Date: 22/12/2015 21:25:48
Message: Exception from HRESULT: 0x8889000A
Detail: System.Runtime.InteropServices.COMException (0x8889000A): Exception from HRESULT: 0x8889000A
at System.Runtime.InteropServices.Marshal.ThrowExceptionForHRInternal(Int32 errorCode, IntPtr errorInfo)
at System.Runtime.InteropServices.Marshal.ThrowExceptionForHR(Int32 errorCode)
at NAudio.CoreAudioApi.WasapiCapture.InitializeCaptureDevice()
at NAudio.CoreAudioApi.WasapiCapture.StartRecording()
at SWYH.Audio.WasapiProvider…ctor()
at SWYH.App.Application_Startup(Object sender, StartupEventArgs e)
at System.Windows.Application.OnStartup(StartupEventArgs e)
at System.Windows.Application.<.ctor>b__1(Object unused)
at System.Windows.Threading.ExceptionWrapper.InternalRealCall(Delegate callback, Object args, Int32 numArgs)
at MS.Internal.Threading.ExceptionFilterHelper.TryCatchWhen(Object source, Delegate method, Object args, Int32 numArgs, Delegate catchHandler)
at System.Windows.Threading.DispatcherOperation.InvokeImpl()
at System.Windows.Threading.DispatcherOperation.InvokeInSecurityContext(Object state)
at System.Threading.ExecutionContext.RunInternal(ExecutionContext executionContext, ContextCallback callback, Object state, Boolean preserveSyncCtx)
at System.Threading.ExecutionContext.Run(ExecutionContext executionContext, ContextCallback callback, Object state, Boolean preserveSyncCtx)
at System.Threading.ExecutionContext.Run(ExecutionContext executionContext, ContextCallback callback, Object state)
at System.Windows.Threading.DispatcherOperation.Invoke()
at System.Windows.Threading.Dispatcher.ProcessQueue()
at System.Windows.Threading.Dispatcher.WndProcHook(IntPtr hwnd, Int32 msg, IntPtr wParam, IntPtr lParam, Boolean& handled)
at MS.Win32.HwndWrapper.WndProc(IntPtr hwnd, Int32 msg, IntPtr wParam, IntPtr lParam, Boolean& handled)
at MS.Win32.HwndSubclass.DispatcherCallbackOperation(Object o)
at System.Windows.Threading.ExceptionWrapper.InternalRealCall(Delegate callback, Object args, Int32 numArgs)
at MS.Internal.Threading.ExceptionFilterHelper.TryCatchWhen(Object source, Delegate method, Object args, Int32 numArgs, Delegate catchHandler)
at System.Windows.Threading.Dispatcher.LegacyInvokeImpl(DispatcherPriority priority, TimeSpan timeout, Delegate method, Object args, Int32 numArgs)
at MS.Win32.HwndSubclass.SubclassWndProc(IntPtr hwnd, Int32 msg, IntPtr wParam, IntPtr lParam)
at MS.Win32.UnsafeNativeMethods.DispatchMessage(MSG& msg)
at System.Windows.Threading.Dispatcher.PushFrameImpl(DispatcherFrame frame)
at System.Windows.Threading.Dispatcher.PushFrame(DispatcherFrame frame)
at System.Windows.Threading.Dispatcher.Run()
at System.Windows.Application.RunDispatcher(Object ignore)
at System.Windows.Application.RunInternal(Window window)
at System.Windows.Application.Run(Window window)
at SWYH.App.Main()

Date: 22/12/2015 21:27:00
Message: Exception from HRESULT: 0x8889000A
Detail: System.Runtime.InteropServices.COMException (0x8889000A): Exception from HRESULT: 0x8889000A
at System.Runtime.InteropServices.Marshal.ThrowExceptionForHRInternal(Int32 errorCode, IntPtr errorInfo)
at System.Runtime.InteropServices.Marshal.ThrowExceptionForHR(Int32 errorCode)
at NAudio.CoreAudioApi.WasapiCapture.InitializeCaptureDevice()
at NAudio.CoreAudioApi.WasapiCapture.StartRecording()
at SWYH.Audio.WasapiProvider…ctor()
at SWYH.App.Application_Startup(Object sender, StartupEventArgs e)
at System.Windows.Application.OnStartup(StartupEventArgs e)
at System.Windows.Application.<.ctor>b__1(Object unused)
at System.Windows.Threading.ExceptionWrapper.InternalRealCall(Delegate callback, Object args, Int32 numArgs)
at MS.Internal.Threading.ExceptionFilterHelper.TryCatchWhen(Object source, Delegate method, Object args, Int32 numArgs, Delegate catchHandler)
at System.Windows.Threading.DispatcherOperation.InvokeImpl()
at System.Windows.Threading.DispatcherOperation.InvokeInSecurityContext(Object state)
at System.Threading.ExecutionContext.RunInternal(ExecutionContext executionContext, ContextCallback callback, Object state, Boolean preserveSyncCtx)
at System.Threading.ExecutionContext.Run(ExecutionContext executionContext, ContextCallback callback, Object state, Boolean preserveSyncCtx)
at System.Threading.ExecutionContext.Run(ExecutionContext executionContext, ContextCallback callback, Object state)
at System.Windows.Threading.DispatcherOperation.Invoke()
at System.Windows.Threading.Dispatcher.ProcessQueue()
at System.Windows.Threading.Dispatcher.WndProcHook(IntPtr hwnd, Int32 msg, IntPtr wParam, IntPtr lParam, Boolean& handled)
at MS.Win32.HwndWrapper.WndProc(IntPtr hwnd, Int32 msg, IntPtr wParam, IntPtr lParam, Boolean& handled)
at MS.Win32.HwndSubclass.DispatcherCallbackOperation(Object o)
at System.Windows.Threading.ExceptionWrapper.InternalRealCall(Delegate callback, Object args, Int32 numArgs)
at MS.Internal.Threading.ExceptionFilterHelper.TryCatchWhen(Object source, Delegate method, Object args, Int32 numArgs, Delegate catchHandler)
at System.Windows.Threading.Dispatcher.LegacyInvokeImpl(DispatcherPriority priority, TimeSpan timeout, Delegate method, Object args, Int32 numArgs)
at MS.Win32.HwndSubclass.SubclassWndProc(IntPtr hwnd, Int32 msg, IntPtr wParam, IntPtr lParam)
at MS.Win32.UnsafeNativeMethods.DispatchMessage(MSG& msg)
at System.Windows.Threading.Dispatcher.PushFrameImpl(DispatcherFrame frame)
at System.Windows.Threading.Dispatcher.PushFrame(DispatcherFrame frame)
at System.Windows.Threading.Dispatcher.Run()
at System.Windows.Application.RunDispatcher(Object ignore)
at System.Windows.Application.RunInternal(Window window)
at System.Windows.Application.Run(Window window)
at SWYH.App.Main()

Ok update:

I have been told that setting Kodi to Directsound rather than WASAPI is the cause as Kodi will take exclusivity of the audio device.
I need ot see if i can tell the device not to allow exclusivity.
But basically that is the cause of the above crash.