I am experiencing this issue and have uploaded a jing video to my dropbox as a zip file (just under 10MB)...
Jing screencast of Issue with IE8 on RadUpload
In the video i do the following...
- create a .net 3.5 vb web app from scratch.
- add a radupload control from the 2011.3.1305.35 control suite to a blank aspx page
- add the IE7 emulation meta tag
- set EnableFileInputSkinning to false
- run the project and demonstrate the file picker dialog
- working in chrome
- working in IE6 and IE9
- and not working in IE7 and IE8
you will also notice some odd rendering of the first upload row, but subsequent ones look fine.
The same behaviour occurs in telerik.web.ui 2010.2.929.35
also the exact same behaviour occurs in the .net 4 builds of both versions.