I experienced this bug from the time I first downloaded the IE8 beta in Nov 2008, but it wasn't a huge problem as I don't use IE for anything except the Windows Update site and the now defunct yahoo launchcast. I waited in vain as the production version failed to fix the bug, as did an uninstall/reinstall. What DID work for my XP Pro SP3 machine is the fix described here:
1.Make sure IE 8 is closed then navigate to registry key: HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Explorer\User Shell Folders
2.Add a new “Expandable String value” inside the above mentioned key with a value name of “AppData” and a value data of “%USERPROFILE%\Application Data”.
3.Reopen IE 8 and see if you still get the error message.
Note that this is also the fix suggested by Michael Agens in post #8
(who as you will see is NOT the MS employee in the thread).
I hope this helps someone!
Labels: hacks, tech