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Hello,

If the software is restarted (closed and then re-opened via computer restart or manual operation) it always reverts back to the default setting of 255.

Is this an issue with my software or a bug? If so, please fix it in the next patch.

Is there a way for now to modify some internal file to make it default to the lowest setting?

Try starting TrackIR by right clicking on the icon and selecting "Run as administrator", then making the change. It's possible that it's just Windows 7 not giving it permission to write the settings file.