0x8007045A ERROR _DLL_INIT_FAILED during Windows Update

http://support.microsoft.com/default.aspx?scid=kb;en-us;836982

This issue occurs because there is a file mismatch or the Msxml.dll files are corrupted.

RESOLUTION:

To resolve this issue, use one of the following methods.

Method 1: Upgrade or reinstall the Microsoft XML parser. To download the latest XML parser, visit the following Microsoft Web site: http://msdn.microsoft.com/XML/XMLDownloads/default.aspx

Method 2: Replace the corrupted files. To resolve this issue, follow these steps:

1. Copy the following DLL files from the C:\WINDOWS\SYSTEM folder from a computer that is working to the computer that is experiencing the issue: • Msxml3.dll • Msxml3a.dll • Msxml3r.dll

2. After you replace the files, you must register the files. To register the files, follow these steps:

a. Click Start, and then click Run In the Open box, type REGSVR32

b. C:\WINDOWS\SYSTEM\MSXML.DLL, and then click OK. You receive a message when the registration succeeds.

c. Repeat steps a and b with the following files: • C:\WINDOWS\SYSTEM\MSXML2.DLL • C:\WINDOWS\SYSTEM\MSXML3.DLL

d. Restart your computer.