Misery loves company, @Tom6455. My symptoms and scenarios are similar to most of the earlier reports: clone to new drive (750GB) on Intel 32bit Lenovo laptop. Windows declared "ungenuine" AND Windows Update no longer works. After about 3 hours (two calls)
with Microsoft, I was issued another license code and they installed it.
Have also used two of the clone tools described before: Acronis "Clone disc" and Easus Partition Manager Clone Disk Wizard. Each produced bootable but defective systems. One curiosity: chkdskwithin Easus produced some file errors that did not occur
with chkdsk running within CMD on Windows (No/ F) nor standalone (with /F)
I too tried following a KB article on fixing Windows Update, to no avail -- KB982018 returns "Installer encountered n error 0xc8000247".
Oh, and I thought I'd be clever and manually install the JET patch on a Virtualbox VM (which has a different -- also valid -- license) -- IT is "non-genuine" now too!
Any hope this will get fixed without disassembling .MSUs - in the imminent(?) Win 7 SP1?