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Error 1325. <username> is not a valid short file name

Hi,

I have a strange problem here in the organization.
- We are running Active Directory and user's home folders (P: Drive) were moved from a windows 2003 server to a windows 2008 server.
- On clients (Windows XP), Favorites are redirected to their home folders in the registry:
[HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Explorer\Shell Folders]
[HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Explorer\User Shell Folders]
Both Values to "\\SERVER\Share$\username\Favorites"

Since this move, when installing/updating softwares in MSI format, this kind of error appears:

Error 1325. <username> is not a valid short file name.

Sometimes, the error number is not there.

Example of softwares getting the error:
- Adobe Acrobat Standard and Reader
- VMWare Workstation and Player
- Others that I cannot remember

I have managed to fix the error by setting the drive letter instead of the UNC in the registry: "P:\Favorites".

1. What does the Favorites path has to do with msi installations?
2. Is there something different with Windows Server 2008 that can cause this error because we did not get this error before?

Thanks for your help.
SOLUTION
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Awinish
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Username should be %username%...

The way you have it is expecting to find a folder called "username". Should be able to change that in the policy and have it propagate down
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Great Gesture Bidonet:
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ASKER

For my part, I have given "read" access to the "Share$" to everyone so my problem is fixed bu I would be interested to know why this only affects user accounts longer than 8 characters.

Should I start another question or this could be answered in this one?
Let this question be like & this & you can ask for additional help by clicking on top right corner by Request Attention.
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ASKER

I found the solution myself "googling" with hints from your comments.
Ive solved this issue like bidonet did. My customer had a unc path for folder redirections to \\ServerName\Share\Division\Username. But no read on "Share" but fullaccess on rest, so i just added the read and everything was OK!

Thx for the solution!
Nice to see, people are getting benefited..Kudos to Bidonet.