For me I got this error after trying to create a new user and looking at Event Viewer it indicated there was an access denied with a sub-folder when it tried to copy C:\Users\Default for the new users profile, so after fixing that it worked.
Under Refresh your PC, it's saying "Insert your windows installation or recovery media to continue." I upgraded from Windows 7 to Windows 8 by purchasing online through Microsoft. Will I still need to use the Windows 7 reinstall cd? What if I can't find the cd too?
Around 40% of all machines I build on 8.1 have this problem. The problem is that this is a domain environment and the user has never logged on before.
In general this is what happens:
I log on to the machine after SCCM completes my OSD as a local administrator.
The local administrator account opens as a TEMP profile with nothing in the start screen and a completely black desktop.
I log off and log back on as the same local administrator (I have to click "other user" then log in with the admin credentials again or i get left with the temp profile)
I get logged in as the local admin and everything is good.
If i log out or reboot and try to log in as a domain user, I am then met with the dreaded "The profile service service failed the sign in" Sometimes this message is white, sometimes it is orange, i cant tell what the difference is.
I have narrowed this down to an issue of the hidden default directory encountering security read/write issues but I have no earthly idea why. I am able to copy the default folder from a known good computer, reboot and then log in as the domain user.
Has anyone else seen this in a domain environment for users who have NEVER logged in? This is pretty much killing any hope of doing a full Windows 8.1 deployment. The other 60% of the machines image fine with no trace of this error or anything in the logs.