Just an update: I have opened up a support with Microsoft on this issue.
They have been able to reproduce the issue and are working on it.
"Andy Elmhorst" <msdnnospamelmhorst.com> wrote in message
news:%23dMYPyJRDHA.2096TK2MSFTNGP12.phx.gbl...install> We can reproduce this consistently. If we install Windows 2000 SP4, then
> install .Net 1.1 ( a soon-to-be typical customer scenario ). We then> .Net 1.0 SP2, which is required by our product to run. The ASP.Net state
> service will no longer start up. This only happens on SP4 of Windows 2000.
> What is causing this?
> Andy Elmhorst
> Software Engineer
> Renaissance Learning, Inc.