Hi,
well...Its working...I just tried the map application on the google api level 7, and it was working fine...there is just a different way to start the AVD. Heres how:
-Launch cmd in elevated mode..as in right click and launch as admin.
-change the directory to the place where ur emulator.exe is located ( program files\android\android-sdk-windows\tools )
-and type the following cmnd:
emulator -avd ur_emulator_name -http-proxy http://your.proxy.address.here:8080
The above cmnd is all in one line...this will launch the AVD. I havent tried this with the app that i was making, but it was working fine on the pre-installed maps application so im guessing it will work with any other app thats using the map API. Also i tried this in API level 7.
Do reply back if its working with ur own apps or in any other API levels..
Thx.