I have been part of the Swat 3 community since the game added multiplayer back in October 2000. Over the last 10 years I have worked extremely part time on the "Last Resort" mod which is designed to improve Swat 3's visuals to bring it up to modern standards.
Swat 2's movies were originally encoded with a codec that doesn't work with modern versions of Windows. This file contains replacement movies that have been encoded in the popular XVID codec.
Although Swat 2's videos are in .AVI format they are encoded with a codec (Indeo Video codec) that Microsoft no longer supports in newer operating systems. For the videos to run smoothly on Windows 8/10 it is recommended you download these replacement versions that are re-encoded with the XVID codec. Overwrite the original movie files that are stored in the "Movies" folder of Swat 2.
I also had to change the permission for a DirectX windows file ("dplayx.dll") to get to work. I had to change it from "READ" to "FULL CONTROL"
Read about it here: