Removed double post. Moved to contributed libraries section because the code uses a contributed library. General advice: pinpoint your problem! Is it in the video library or in the AR library? Find the culprit and a solution is that much closer.

I am new to processing so struggling with this,  It appears the camera won't open, I can hear the sound from the video when I run the sketch and there are no errors. 

Try to run a video without any of the AR stuff. Only basic 2D video. See if it works.

I managed to get a video to work, so I am guessing it's the AR Library, any suggestions what I should do next?  I am struggling :/

First of all, there is not yet a Processing 2. Only the latest Processing 2.0 beta. So the question is really if the NyARToolkit is compatible with the latest beta? The answer is probably not. The AR library wasn't updated recently and the changes during the alpha/beta stage of Processing 2 development have likely broken the library. The best thing is to use 1.5.1 until 2.0 hits and the AR library is updated accordingly. If you still want to give it a shot now, here are some further suggestions...

Some checks:

• Does your cam capture work? Is there incoming webcam input?
• Does the AR detection work on the cam image? I thought the AR library couldn't handle higher resolutions. Make sure it can succesfully detect markers? For example with test println() or background() calls.
• The whole begin/endTransform and every line in between is suspect. Most of those 'seem' wrong, but the only way to test is manually. Comment them out and replace parameters with numbers based on mouseX, mouseY so you can use the mouse to test it directly.
  

Hi Ammon, I have decided to stick with processing one, but want to use Opengl and GS Video like in your tutorial.  Here is my code

import processing.video.*;
import jp.nyatla.nyar4psg.*;
import codeanticode.gsvideo.*;
import processing.opengl.*;

Movie myMovie;
GSCapture cam;
MultiMarker nya;

void setup() {
  size(640, 480,OPENGL);
  colorMode(RGB, 100);
  println(MultiMarker.VERSION); 
  cam = new GSCapture(this, 640, 480); 
  cam.start(); 
  nya=new MultiMarker(this,width,height,"camera_para.dat",NyAR4PsgConfig.CONFIG_PSG);
  nya.addARMarker("patt.kanji",80);//id=0
  nya.addARMarker("patt.kanji",80);//id=1
  myMovie = new Movie(this, "fullrender.mov");
  myMovie.loop();
  myMovie.play();
}

void draw()
{
  if (cam.available() == true) {
  }
  cam.read();
  image(cam, 0, 0);
  nya.detect(cam);
  background(0);
nya.drawBackground(cam); //frustumを考慮した背景描画
  for(int i=0;i<2;i++){
    if((!nya.isExistMarker(i))){
      continue;
    }
    nya.beginTransform(i);
    scale(0.1,0.1,1);
    rotateZ(PI/2);
    translate(0,0,20);
    image(myMovie, -640, -360);
    nya.endTransform();
  }
}

For some reason my camera doesn't open,  the light comes on and there are no errors, but I don't get a picture, any Ideas why?  I don't have a problem if I just use the camera.  Thanks :)