There are many ways to create a cockpit (interface) between you => your computer => the cockpit.
1 - Keyboard Emulation.
Basically that consists of a keyboard that has been 'hacked' (control card inside the keyboard is removed and reconnected to your switches) so that each switch or button is the same as pushing a key on the keyboard. That is one of the first ways it was done and it still works very well. Not to expensive and pretty easy to accomplish.
http://www.fscockpit.com/keyboardemulator.html
2 - Joystick Controller Card (BU0836X)
This is kind of the same thing but as a joystick emulator. It's a custom designed card that will let you plug in your controls and configure as a joystick.
http://www.leobodnar.com/products/BU0836X/
Both of those will require a bit of up stream work to make sure the output from your various controls (switch/knob/button etc) match the input of that control in the keyboard/joystick. So it's not exactly plug and play per say but takes a lot of the guess work out of it. Then you will need to configure your (emulators input) to match what you want that control to do in FSX (control settings).
From there there are also custom interface cards you can install in your computer to act as a control input and display or instrument indication output. These are mostly used by those building very complex cockpits (heavies/airliner). As there is a ton of stuff going on there and a great many controls to handle.
From there comes the output side of things.
MIP (main instrument panel)
1 - Actual Instruments
You can buy and adapt actual aircraft instruments to work with your simulator. This was the first thing people were doing when building a cockpit. It's not easy but can be done. Instruments can be found on Ebay or at used aircraft parts suppliers there are a few large ones online. The instruments are a bit on the price side and converting is not easy task. It can and has been done lots of times and many here can help you in that area.
2 - Buy ready made USB instruments.
Simkits and other simulator suppliers will sell you ready to connect and configure USB instruments. You would need a USB Hub most likely to connect all the instruments you need but it's plug and play basically. These are replicas of actual instruments reconfigured for you to work with the flight sim. That convenience comes at a price though
That is they can be a bit on the expensive side. In a pinch though they are a great option. If you are looking long term at your simulator and a gradual build they are a solid investment and worthy of looking at.
http://www.simkits.com/
3 - LCD instrument panel.
Perhaps one of the least expensive ways of getting a MIP. One I'm going to be using to start off with anyway. You can build a 'Template' that is a shield that looks like and perhaps operates like a MIP and in behind you place a LCD monitor to act as your main instruments. These are from FSX and you can customize and position them using software. You basically get your FSX displayed instruments in the box of your MIP. This works really quite well for a Helo sim as the box is just a bit bigger then the LCD.
Then you have your exterior display. (the virtual outside world)
This is usually done using a multi output VC or the Matrox #-TOGO add on hardware. The Matrox Double or Tripple head to go takes your single output signal and converts it to display on multiple monitors. Giving you a more panoramic view of the outside. You then connect up the monitors of choice (making sure they are compatible if using the Matrox box) and you have your display.
A really quite fine example of a helicopter simulator and perhaps a great resource for you to check out is this Bell 206 Jet Ranger sim built by a fellow simmer in Canada.
http://www.computerrepairs.ca/Simulator.htm
He got his 206 Shell from a scrapped 206. You perhaps don't need to go that far atleast to start off with but it will show you what you can do with time and patience.
Of course this site your reading this from is a great place for everything you need to know about building a sim. The knowledge pool is enormous and pretty well every problem that you could face has been faced before and answers can be found here.
Hope all that helps.
As for the FSX and Win7 display difficulties it's more likely a FSX and early version of the Helicopter model your looking at. The VC (Virtual Cockpit) is part of the model of the helicopter. In some cases an earlier version say FS9 or FS2004 won't display correctly in FSX. So you may be restricted to a 2D panel display in those instances if you are using an earlier FS aircraft model in FSX. If that isn't the case that it could be a video card driver problem with Win7. I am thinking that the Vista drivers should be compatable with Win7 but that may not be entirely true and perhaps waiting for a Win7 driver if you are working with the Vista driver could solve that problem.
Oh and welcome to the board. --- (almost forgot hehehe)
Ron
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