I'm having the same problem too,I have a Windows XP Pro SP2 and I'm getting this same DRIVER.cab error although the file is working and I've extracted it using other programs,but I have 2 points : 1) I'm sure I've used an earlier version of nLite on this exact copy with success even with the SP3 slipstreaming, so this is a new problem at least for me, I'm trying to download an older version atm to test with it. 2) When I tried to unpack the DRIVERS.cab file using Winrar 3.70/3.80 & powerArchiver 10, I got an error telling me it was corrupted, but the file worked fine when I tried extracting it using 7-Zip & Universal Extractor, no idea if this means anything just thought to put it out. Edit : I've tested with nLite 1.4.7 and still have the same problem, so I'm wondering, is it possible for me to extract the DRIVERS.cab file for nLite into the "XP Source/drivertmp" folder it creates to avoid the error and then the software can continue from there normally ?