MC Launcher does not start game.

I started the launcher, hit "play demo" button, then i get the following text displayed under "Game output (Demo)":

[14:39:42] [Client thread/INFO]: Setting user: Player
[14:39:42] [Client thread/INFO]: (Session ID is token:9766beab00f6403daf3d0eb52449acde:00000000-0000-0000-0000-000000000000)
[14:39:45] [Client thread/INFO]: LWJGL Version: 2.9.4
[14:39:46] [Client thread/INFO]: Reloading ResourceManager: Default
[14:39:47] [Sound Library Loader/INFO]: Starting up SoundSystem...
[14:39:47] [Thread-6/INFO]: Initializing LWJGL OpenAL
[14:39:47] [Thread-6/INFO]: (The LWJGL binding of OpenAL. For more information, see http://www.lwjgl.org)
[14:39:47] [Thread-6/INFO]: OpenAL initialized.
[14:39:47] [Sound Library Loader/INFO]: Sound engine started
[14:39:51] [Client thread/INFO]: Created: 512x512 textures-atlas
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1. A fatal error has been detected by the Java Runtime Environment:
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2. EXCEPTION_ACCESS_VIOLATION (0xc0000005) at pc=0x27cd3e88, pid=4432, tid=5860
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3. JRE version: Java(TM) SE Runtime Environment (8.0_25-b18) (build 1.8.0_25-b18)

4. Java VM: Java HotSpot(TM) Client VM (25.25-b02 mixed mode windows-x86 )

5. Problematic frame:

6. C [ig4dev32.dll+0x3e88]
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7. Failed to write core dump. Minidumps are not enabled by default on client versions of Windows
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8. An error report file with more information is saved as:

9. C:\Users\Michael\AppData\Roaming\.minecraft\hs_err_pid4432.log
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10. If you would like to submit a bug report, please visit:

11. http://bugreport.sun.com/bugreport/crash.jsp

12. The crash happened outside the Java Virtual Machine in native code.

13. See problematic frame for where to report the bug.
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    AL lib: (EE) alc_cleanup: 1 device not closed
    Java HotSpot(TM) Client VM warning: Using incremental CMS is deprecated and will likely be removed in a future release

p.s.: The full error log is attached.