This is a post at Technet which I found to be working for me. Try it and report back.
Source:
No Audio Output Device - TechNet Forums
I believe I have a solution. (posted by copperminecottage), credits to him/her if it works.
Scenario: I bought a new Sony Vaio on Sunday, and upgraded Vista to Vista Ultimate yesterday. Immediately the sound system fell silent. After following other suggestions I checked the updates I had installed following the upgrade to Ultimate. Windows and discovered that Update for Windows Vista (KB929685) says:
"Install this update to address an issue that may prevent high-definition audio devices from initializing after resuming the system from a sleep or hibernation state."
I had put the PC to sleep around that point.
Here is what I did next:
In Conrol Panel -> System -> Select the Device Manager and find the Sound entry. Expand it. Click the entry for High Definiton Audio Device with the right mouse button. Uninstall it and the software too (check the box).
Now put the PC to sleep. When it restarts it will reinstall the Audio device. Meantime the update above (KB929685) seemed to have kicked in and PRESTO - sound again!
Worked for me. Good luck.