I recently built my self a server with Xeon E3110 and Asus P43 board. I got Server 2008 R2 x64 install with hyper V. I create a new virtual machine and install windows 7 pro x64 and all is fine and I'm able to get online and install programs etc. But when I try to do windows update by clicking on "check for updates" I get an error code 80240038, Windows could not search for new updates. My other Windows 7 on my gaming rig works fine and also the laptop. This windows 7 is build 7600 from technet plus.

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Hi,Can yourename Windows Update temporary folder to test the issue? 1. Click "Start", type: services in the search box and press Enter. 2. Right click on Windows Management Instrumention, choose Stop. Do not close this Service window. 3. Locate Repository folder in C:\windows\system32\wbem, rename Repository to Repositoryold. Repository 4. Restart the Windows Management Instrumention service. 5. Right click on Windows Update, choose Stop 6. Click the "Start" Button, in the "Start Search" box, type in "%windir%" (without the quotes) and press Enter. 6. In the opened folder, look for the folder named "SoftwareDistribution". 7. Right-click on the folder, select "Rename" and type "SDold" (without the quotes) to rename this folder. 8. Restart the Windows Update service.Does it work?If not, could you please upload the WindowsUpdate.log file to Skydrive and let us know the download link?Thanks.

It works now, do I have to rename it back to the original or just leave it that way?

You can delete it. Windows will create a new Windows Update temporary folder. Thanks.