Error 1935 installing ArcGIS 10.2

I am having problems installing ArcGIS 10.2. Every time I try to install I get the following error:

"Error 1935: An error occurred during the installation fo the assembly component. {943B542A-A22E-38EB-885D-52C90B865DDA}. HRESULT: 0x8007054F."

Running Windows 7 Professional 64-bit SP1 on a Sony VGN-FW351J laptop

I have been researching this error on the ArcGIS Resource Forums and the broader internet for the past few days. The best answer I have found is here:

http://forums.arcgis.com/threads/165...-error-1935/#6

I have followed all the steps listed:

1. Added DWORD 0xffffffff to registry
2. SFC /SCANNOW finds no errors
3. Oddly, I cannot install MSXML4 sp3 either... get this error:

"An error occurred during the installation fo the assembly component. {74974F83-779E-3983-D6B9ABF34537}. HRESULT: 0x8007054F."

Note that the HRESULT is the same, just no Error 1935.

4. Results of Stebner's .NET Framework Setup Verification Tool:

.NET Framework 2.0 SP2 - Product Verification Succeeded
.NET Framework 3.0 SP2 - Product Verification Succeeded
.NET Framework 3.5 SP1 - Product Verification Succeeded
.NET Framework 4 Client - Product Verification Succeeded
.NET Framework 4 Full - Product Verification Succeeded
.NET Framework 4.5 - Product Verification Succeeded

So no issues there.

5. Try to install ArcGIS from the ESRI.exe running as Administrator from both a mounted ISO and a DVD result in the same 1935 Error.

I have uninstalled any and all non-required software, including Visual Studio Professional 2005 and 2008, and run CCleaner against the registry and cleaned up all the junk left behind.

Have tried the clean boot option as described here:

http://forums.arcgis.com/threads/919...istry-edit/#10

I have had every version of Arc from 9.2 to 10.1 on this machine with no issues. I've installed 10.2 on the same OS at work with no issues. Running out of ideas. Any help would be appreciated. Thanks...