OK, this isn't as complicated as it sounds. It
really takes more patience and imagination than it does skill in
electronics or computers. Here is the basics of how this works.
The computer runs a piece of software called a sequencer. This
sequencing software is responsible to telling which strands of
lights come on at a certain point in the musical selection. Here
is where the patience comes into play. It roughly on average
will take 2 hours of sequencing for each minute of a song. So
for a 4 minute Christmas song, it will take you on average 8
hours to sequence the song. The complexity of the sequence is
all depending on the amount of lights you have and your
imagination.

Computer running sequencer
Once the computer has songs sequenced, we need to
be able to hook the lights up to the computer. This happens
with some hardware modules which can be made on your own or if
your not skilled in electronics like myself, purchased from
vendors online. There are a few vendors whose products you can
choose from. All do primarily the same thing, fade up and down,
shimmer, twinkle, and turn the lights on and off. I use the
Light
O Rama brand and I find their support to be top
notch. The board will accept the commands from the computer
sequencer and control the lights that are plugged into them. You
can see the controller below and the extension cords plug into
them.

Picture of a LOR controller
From this point you would hang your lights and plug them all
into your controller modules. This is the easy part. The hard
part is already done assuming you have created your sequences.

Picture of cords coming in my window

And the mess being my computer