Windows 7: Serious driver problems? (Even my CPU?)

Alright, so this is what I'm up against.
I've had this problem for a pretty long time now, but it hasn't bothered me that much (well, once I got past pulling my hair out and eventually deciding that it was un-fixable), but recently, I've tried to mount ISO files and of course, this old "Error Code 3" driver problem restricts Daemon Tools abillity to install drivers.
I'm not asking how to get Daemon tools working, I'm simply going insane over this entire problem, I mean, what IS happening here?

It's far too late for a system restore, and I do not want to reinstall my OS unless I REALLY have to, which I presume I don't, since this must be fixable.
I've tried uninstalling, restarting, and reinstalling drivers, but nothing seems to work, infact, every single time I uninstall something, when it re-installs, I get the error messages that the driver did not install correctly, and that error is of course Error Code 3.



I'm definitely not running out of memory, by the way.
I was thinking, possibly there's some way to purge the drivers folder of everything that isn't required for Windows to operate?

I just don't understand, it's so confusing, and now that I realize it's causing a lot of problems, it's REALLY getting on my nerves.
Any suggestions?

You can try a manual Windows Update to see if anything will install.
Aslo run SFC /SCANNOW Command - System File Checker to check for file corruptions.

I've tried manual updates, nothing was fixed.
I did try and run a Microsoft FixIt program that supposedly (well, I'm sure it DOES work, just not for me) finds problems with device drivers, searches Windows Update and then installs them, but of course, they all failed.

I tried SFC, and it DID find corrupt files, it also reported that it couldn't repair all of them.
The problem still remains.

Hi DANCUBE, Welcome to the forums, could you please tell us the make /model of your PC/ Laptop ,this will help us further to find drivers for you you seem to have a lot of virtual CD/DVD drives ,try uninstalling magic iso then updating the troublesome drivers through windows update first , How much ram do you have?

Explanation of error codes generated by Device Manager in Windows XP Professional
check it out
might be helpful

I've done all of those things, the problem is that they will not successfully install, each time I uninstall, re-install and reboot, windows searches on Windows Update for the driver, finds the correct driver, and attempts to install, this results in Failure.
I've tried manually installing the correct drivers too, no use, same result.
I have two sticks of 2GB DDR2 800MHz RAM (4GB).
Thanks, but I know that Error 3 is pointing to either driver corruption or low memory.

DANCUBE, have you tried installing the drivers in compat mode ? Compatibility Mode

The first thing i would do is get rid of Daemon Tools it's nothing but problems in Win 7, then reinstall the chipset driver for your motherboard from the manufacturer.

Done it, no difference.
The problem was there a good while before I installed Daemon Tools.
The only reason I installed it was because CloneCD stopped working, and when I checked the device manager, I seen that they had yellow triangles beside them, and gave Daemon tools a go, but as you know, it also didn't work.

I haven't, I guess I'll give it a go.
I'll try running it in "Vista" compatibility, although I doubt it'll do much, I'll try.

Try running it two more times with a reboot between each one. It takes more than once at times.
EDIT: I mean re-run sfc.