AND it prompts for something called Houdine Engine Plug-in and Traffic plug-ins, which I had to choose disable or the program closes, do I need to install all these plugins to open it?
Yes, there is a youtube video where they are explaining how the Matrix demo was made, and a big portion of the city is made using the Houdine Engine Plug-In meaning you need to have it installed and enabled in order for the project to work right.
Hope this helps! 