well, to figure out if it's device related, which it could be per some readings, you can go to your device manager and start disabling stuff - start with COM ports and try re-running the install, just disable all of the COM ports. if that's not it, try bluetooth, sound and any NICs (yes your internet will go down), if it still doesn't install we'll have to come up with a different solution, re-enable all disabled devices
also, what's the model of the pc?
actually after a bit of reading and what crizo posted, that dll would only come up when sending a request to the internet for activation, so if it were driver related it'd be NIC related, just disable your NICs and try again, you can do that in network center if you want. it may give you another error because it can't get to the internet.
Edited by SassyMcFlowerPants, 28 December 2012 - 01:47 PM.