Server 2008 startup repair error

I have a server 2008 that is having errors installing a webcam and desktop experience.  The webcam only works if desktop experience is installed which won't install.  It will reboot 3 times and say updates cannot be configured but there are no errors in event viewer.  I contacted Microsoft and the said to remove all windows updates and do a startup repair.  I removed the updates and went to do the startup repair (booting from DVD) and it says you recently installed a camera or imaging device.  Remove this device and restart.  So I rebooted, removed the cam, uninstalled the software and uninstalled the drivers for the cam and I get the same error doing the startup repair.  Anyone know a way through this?

To note I have a seperate server 2008 and I did install desktop experience ok, then the webcam and all worked fine so I know it is possible.
mskyyAsked:
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Abhay PujariConnect With a Mentor Commented:
It is similar to vista repair. But lot of options have changed. Follow this for the same http://social.technet.microsoft.com/Forums/en-US/winserversetup/thread/cd3d665f-3d95-4617-946d-55d8c03448fe.
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Abhay PujariCommented:
Yes it is possible. Have you tried to install desktop experience before updating Windows server 2008?
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mskyyAuthor Commented:
Not initially.  I have since however went back and uninstalled all Windows updates but DE still will not install and I still get the error image device trying to do the startup repair.
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Abhay PujariCommented:
Have you followed the same procedure on this machine like the machine on which it is working?
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mskyyAuthor Commented:
On the on that is working, I did not install updates, and installed desktop experience, then the webcam.  I really cannot wipe the server and start over.  There are no errors in evant viewer other than telling me to restart to finish installing updates, 3 times the error goes away with no update installed (such as DE).
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Abhay PujariCommented:
K. Are you able to do a repair?
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mskyyAuthor Commented:
I cannot do a startup repair.  Are you referring to repair the whole installation?  Is it similiar to reparing XP?  I have not tried any other repair except the startup repair.
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Abhay PujariCommented:
Yes, I am referring to whole OS repair, this may solve your problem.
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mskyyAuthor Commented:
Is it similiar to an XP repair or no?
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mskyyAuthor Commented:
The article talked about an in place upgrade which worked perfectly!
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