I have some sort of virus that causes pop-ups to show up on all websites. I looked at my running processes and dvdplay.exe seems to be the root of the issue. I end the process but it comes back, I have also tried deleting the source file but it comes back as well.

Any suggestions?

www.lavasoftusa.com

Download Ad-Aware, and run it (edit: the personal edition is free of charge).  That will likely solve most of your issues.  Then, quit using Internet Explorer for anything other than Windows Update.  Use Mozilla instead.

www.mozilla.org

Boot up in safe mode (F8 while your computer is starting up, after you turn it on or reboot)
Login as administrator

start -> run -> cmd

dir /s \dvdplay.exe

where is it?

I have tried Ad-Aware, it didn't help me out (obviously).

I did the little safe mode thing you recommended, and I am pretty sure it said it was in windows/system32/dllcache. However, I can't find a "dllcache" folder in the system32 folder.

try an OS that's not plagued by these problems, Mac.

Quoted: try an OS that's not plagued by these problems, Mac.

I have used Mac a few times and dislike it.

Install these they will help
spysweeper
ewido don't install background scanning!
etrust pestpatrol do a search for pestpatrol, and  software called the cleaner
a2
microsoft antispyware
if your running XP or win2k reboot your computer after the bios screen,  screen that says computer manufacturor.  push the f8 key a couple times. when the menu comes up, go to safe mode with networking support.  install the programs update them and do full system scans with all of them!!  IF your are running ME, 98 install the software in NORMAL mode update the ones you install then boot into safe mode.  same steps as above just choose safe mode.  
adaware and spybot are not enough anymore.  you still need them installed but  you also need antitrojan software!  
you obviously aren't running good antivirus software.  download trial versions of ... pandasoftware, nod32, kaspersky, commandondemand, install one, if you like it buy it.  
do your windows updates, quit looking at porn, don't open EVER email someone sends you,  don't use filesharing programs.  and you will be OK