RE: .NET Environment Causing Widespread Failures
This is going to incredibly long, but the apparent culprit to the widespread failures is .NET. I was originally going to target the recent .NET 4 Environment from Windows update, but the issue is programmatic. The problem evolvded from another issue where upgrading to WIN8 from WIN7, when one of the updates crashed WIN8. After 12 hours, I forced-tricked the WIN8 to reinstall. Ultimately WIN8 kept failing, but as a last attempt, I initiated my recovery (since I had lost everything not backed-up anyway) to revert back to WIN7. There was no problem except Windows Update failed a few times. I didn't think anything of it.
I went forward to upgrade WIN8 once more. After going through the process, the entire installation had failed, I was given the BSoD and the installation reverted back to WIN7, but with a new set of problems. Three things happened I noticed: (1) None of these issues happened when I first upgraded to WIN8; (2) Windows update failed in WIN7 this time; (3) I checked the box to received online updates during the upgrade. Somewhere, receiving one of the updates is causing WIN7 and WIN8 to crash. Of course, we know this by now.
Here's a few issues that happened after WIN8 reverted the upgrade down to WIN7. The uninstalling two programs (MSSE and bluetooth) claimed incompatible, in fact, were compatible, but the widespread issues are programs failiing due to a "machine.config" file. I discovered the entire file is missing, but that wasn't the real case. The error: Error parsing C:\Windows\Microsoft.NET\Framework\v2.0.50727\config\machine.config Parser returned error 0xC00CE556. MSDN reveals the "config" file as the configuration file for the entire system (I suppose meaning the .NET Framework).
I found that interesting because all of the Microsoft Installer (.MSI) files depended upon it, which meant any .NET programs and APIs would fail! The biggest issue was the original config file is in .NET Framework 2.0, but .NET must be turned on through Windows Configuration Interface found in Control Panel>Programs> left menu panel. There are two place to turn on .NET, but this was after trying to reinstall .NET 2.0/3.0/3.5SP1. The result was WIN7 couldn't activate the .NET Framework. In fact, the event was "Windows update failed. Reverting changes".
The result to-date is one of the new Windows Updates probably the .NET Framework 4 deletes all of the previous .NET Frameworks making all compatible applications and API defunct. It also shutsdown any possible way to reinstall the previous .NET Frameworks for which most Windows Updates require. To-date I'm unable to get the machine configurations back into place because the original .NET configurations are in .NET 2.0/3.0/3.5SP1. These .NET Frameworks are cummulative. The MSDN extraction packages don't replace the machine.config file which is needed. More research is also needed, but this is real and none of the previous .NET Frameworks extraction packages has succeed: Error parsing C:\Windows\Microsoft.NET\Framework\v2.0.50727\config\machine.config