Windows cannot not read from this disk. The disk might be corrupted, or it could be using a format that is not compatible with Windows.
Don't confuse custom-burned data DVD's with movie DVD's.
If you can't play
movie DVD's then it is a missing CODEC or ASPI layer. Files are still accessible.
If your DVD device is having trouble reading from DVD in general(other than scratched surface or poor copy) then the problem is more likely of hardware nature.
First thing to do is get some free tool like
http://www.cdspeed2000.com/files/NeroInfoTool_403.zip
that would give you some in-depth info about your hardware and software, along with the disc in question.
First thing that comes to my mind to remedy this is firmware upgrade. Almost every optical drive has some flaw which are fixed by upgrading the firmware.
You must know EXACT model of your optical drive and Firmware version. Easiest way to learn this is by that tool above.
In the "drive" tab you will see supported read and write features (and notice the number of different CD/DVD formats!) and in the "general" box at the top right corner you can see firmware version.
Also, insert the DVD in question and click on the "disc" tab to see some details about that disc. "Type" should be DVD-ROM or DVD+ROM.
If you're not confidant with flashing the optical drive, you can always post here drive's specifications (manufacturer, exact model and firmware version) and I'll see if there is anything there can be done.