This is "by design". MSMQ3.0 (Windows XP and Windows SErver 2003) was never meant to be installed at the same time as the operating system. Instead it was designed for installation after the operating system is up and running. The documentation in the deploy.chm file is incorrect. The way to achieve this functionality is by running unattended installation of MSMQ after XP is installed and running. You can accomplish this by launching your MSMQ unattended install from [GuiRunOnce]. For example: [GuiRunOnce] sysocmgr.exe /i:sysoc.inf /r /u:mqanswer.ini Contents of answerfile: ================= [Version] Signature = "$Windows NT$" [Global] FreshMode = Custom MaintanenceMode = RemoveAll UpgradeMode = UpgradeOnly [Components] msmq_Core = ON msmq_LocalStorage = ON msmq_HTTPSupport = ON msmq_TriggersService = ON msmq_ADIntegrated = ON msmq_MQDSService = OFF msmq_RoutingSupport = OFF [msmq] Cheers John Breakwell Microsoft Limited