JSI Tip 4781. The Terminal Server Licensing service won't start and events 7024 and 37 are logged?

Your Windows 2000+ server won't start the Terminal Server Licensing service. The Event log contains:

Event Type: Error 
Event Source: Service Control Manager 
Event Category: None 
Event ID: 7024 
User: N/A 
Computer: ComputerName 
Description: The Terminal Services Licensing service terminated with service-specific error 3221291009. 

Event Type: Error 
Event Source: TermServLicensing 
Event Category: None 
Event ID: 37 
User: N/A 
Computer: ComputerName 
Description: Can't start Terminal Services Licensing because of error 'Can't initialize Cryptographic - error code 80090016.'

If the HKEY_USERS\.DEFAULT\Software\Microsoft\Cryptography\Provider\Type 001 key exists in the registry, it prevents the Terminal Server Licensing service from accessing cryptographic information.

To resolve the issue, delete the HKEY_USERS\.DEFAULT\Software\Microsoft\Cryptography\Provider\Type 001 key.

If HKEY_USERS\.DEFAULT\Software\Microsoft\Cryptography\Provider exists, delete it also.

Shutdown and restart your server.

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