READ FULLY. This may help you....
Although a very good solution and promising for most people, the fix above didnt work for me.
My issue.
As others have stated, last night, my computer auto updated the following Microsoft updates:
975560, 975713, 977165, 977914, 978037, 978262, 978251, 978706
This morning I get the endless restart loop and blue screen for 1/2 a second. After video taping the error so that I can load the video onto another computer and view the blue screen error message, I tracked it down (somehow) to a fault windows update
that happened the evening of Feb 9th.
Safe mode froze on an AVG driver file, aftger removing that file in dos, it later froze on the mup driver file. No luck.
Last known good configuration...didnt work.
I found a website that gives instruction on how to do some manual system restore file copying from within the windows recovery console. Nope. Notta.
A call to Microsoft and 2 hours later, I found a Microsoft support specialist in asia somewhere who gave me some help.
First she said that they are overwhelmed with this issue this morning and many people are calling with the same issues.
She said that renaming and movi9ng one file has helped "most" customers.
She had me boot to windows CD, go into the recovery console, then at the windows directory do the following:
_______________Do not do this!!_____________
cd system32\config
ren system system.old
cd \
cd windows\repair
copy system C:\windows\system32\config\system
exit
THis will take you into the config folder, rename an important file, back out into the windows repair directory, copy a file from tehre into the config folder.
That didnt work for me. Instead, I am not UNABLE to get back into the windows recovery console at all.
She said this has helped MOST people and her next suggestion was to do a XP repair install (install XP over the top of itself) also from the recovery console (which I am no longer able to get into) Ouch!
Her final option was to do a clean install. Sorry, not an option for me at this time.
She said that Microsoft was working on the issue and perhaps tomorrow, more would be known. She suggested searching on Bing tomorrow for the phrase "Windows Update Error"...the most recent results should have some more information on this widespread issue.
I am stopping, after 6 hours of troubleshooting and will start over tomorrow.
Good luck to all.
Note: It took me 3 hours to UNDO what the microsoft tech told me to do. By replaceing the "system" file in the config directory, it replaced it with a copy from the rapair directory, which caused LOTS - o - problems.