Try manually downloading the BITS package and install it.
http://www.microsoft.com/downloads/d...displaylang=en
Update for Background Intelligent Transfer Service (BITS) 2.0 and WinHTTP 5.1 (KB842773)
Note: This download is available to customers running genuine Microsoft Windows

or look in the SoftwareDistribution folder under Windows and see if the download has actually
occurred. If it has, you may be able to install it manually from there. Another user did this when
the downloads failed to install.

--
===========================
TaurArian [MS-MVP] 2005-2006
===========================


"Koolbreeze" <Koolbreeze@discussions.microsoft.com> wrote in message
news:2E413B1C-B78D-40C6-9735-7065D25495FE@microsoft.com...
>I recently had to use a system recover to roll my computer back to
> "day one (The way it was the first day I turned on my computer).
>
> I am trying to install updates on the windows update website. I have an hp
> pavilion 520w, running on windows XP Home.
>
> The website first looks to make sure I have current update software
> installed on my computer.
>
> It then says I need to install the following:
>
> Update for Background Intelligent Transfer Service (BITS) 2.0 and
> WinHTTP 5.1 (KB842773)
> 0 KB , 0 minutes (Downloaded; ready to install)
> This software updates the Background Intelligent Transfer Service
> (BITS) to v2.0 and updates WinHTTP. These updates help
> ensure an optimal download experience with future versions of Automatic
> Updates, Windows Update, and other programs that rely on BITS to
> transfer files using idle network bandwidth.
>
>
> Total: 0 KB , 0 minutes (Downloaded; ready to install).
>
> As you can see, it says it is already downloaded, and is supposedly ready
> to install, although the Total bytes downloaded shows to be zero.
>
> At this point is tells me to restart for the downloaded updates to take
> effect.
>
> When I restart, it tells me I need to download the above update
> software again, and seems to be stuck in a loop trying to download this one
> update. I can not get past it.
>
> I would ultimately like to install Service Pack 2, but I can't get past
> the first update I have tried to download since I did the System
> Recover.
>
> Thank you for you help.
>