So my autoupdater started throwing exceptions today, telling me i had to select the eq2 folder etc.
Turned out that fixing it involved downloading and installing the newest version of Java (Version 6. Update 16) manually and installing it.
So, hit up
www.java.com and download that version and install it.
My old version was 6. update 15, and even if i tried getting it to auto update it wouldn't recognize there was a new version avail..
Hope it fixes it for the rest of you as well.