KBWe posted this solution a while back but it's proven to be so popular that it was converted to an official Knowledge Base article.  You can find our original post here but the test of the KB is below:

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Symptoms

When attempting to install a System Center Configuration Manager 2007 Management Point (MP) on Windows Server 2008, the setup may fail with the following errors:

MPMSI.LOG
[13:52:07] Enabling BITS
[13:52:08] @@ERR:25006
MSI (s) (DC!FC) [13:52:08:085]: Product: SMS Management Point -- Error 25006. Setup was unable to create the Internet virtual directory CCM_Incoming
The error code is 800CC801

Error 25006. Setup was unable to create the Internet virtual directory CCM_Incoming
The error code is 800CC801
CustomAction CcmCreateIISVirtualDirectories returned actual error code 1603 (note this may not be 100% accurate if translation happened inside sandbox)

MPSETUP.LOG
<08-27-2010 13:43:26> Installing E:\Program Files (x86)\Microsoft Configuration Manager\bin\i386\mp.msi CCMINSTALLDIR="E:\Program Files (x86)\SMS_CCM" CCMSERVERDATAROOT="E:\Program Files (x86)\Microsoft Configuration Manager" USESMSPORTS=TRUE SMSPORTS=80 USESMSSSLPORTS=TRUE SMSSSLPORTS=443 USESMSSSL=TRUE SMSSSLSTATE=0 CCMENABLELOGGING=TRUE CCMLOGLEVEL=1 CCMLOGMAXSIZE=1000000 CCMLOGMAXHISTORY=1
<08-27-2010 13:51:30> mp.msi exited with return code: 1603
<08-27-2010 13:51:30> Backing up E:\Program Files (x86)\Microsoft Configuration Manager\logs\mpMSI.log to E:\Program Files (x86)\Microsoft Configuration Manager\logs\mpMSI.log.LastError
<08-27-2010 13:51:30> Fatal MSI Error - mp.msi could not be installed.

Note that the failures are observed on Standard, Enterprise, x86, and x64 versions.  The failures are observed in the following circumstances:

  • After performing a site repair of a site server running on Windows 2008 with a local MP already installed
  • Initial install of an MP on a machine running Windows 2008
  • After removing and attempting to reinstall an MP on a machine running Windows 2008
Resolution

As of right now, the easiest way to resolve this issue is to remove and reinstall the BITS component.  If the ConfigMgr 2007 Management Point role was already installed then it will also be necessary to remove and reinstall that role once you've done the same with BITS.

For the latest version of the article see the link below:

KB2419559 - System Center Configuration Manager 2007 Management Point install fails on Windows Server 2008 with “The error code is 800CC801”

J.C. Hornbeck | System Center Knowledge Engineer

The App-V Team blog: http://blogs.technet.com/appv/
The WSUS Support Team blog: http://blogs.technet.com/sus/
The SCMDM Support Team blog: http://blogs.technet.com/mdm/
The ConfigMgr Support Team blog: http://blogs.technet.com/configurationmgr/
The OpsMgr Support Team blog: http://blogs.technet.com/operationsmgr/
The SCVMM Team blog: http://blogs.technet.com/scvmm/
The MED-V Team blog: http://blogs.technet.com/medv/
The DPM Team blog: http://blogs.technet.com/dpm/
The OOB Support Team blog: http://blogs.technet.com/oob/
The Opalis Team blog: http://blogs.technet.com/opalis

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