Yes,
Windows 7 is much different than XP.
Since you are running PRO or higher (you say Ultimate) then run your games in XP mode.
I had the same issue with Warcraft III, another blizzard game as you mentioned.
see:
www.blizzard.com for official and recommended solutions to getting their games to function properly under Win7.
To run any game (or any application) in WinXP mode, right click on it's icon, whereever its located, and in the menu that comes up, click compatibility.
Follow the screens.
FYI, the new releases from blizzard, up and coming, are fully compatible with Win7.
Hope this helps.
Mike.