About the Error
Whil installing a Microsoft Windows Installer package, this error may appear. Clicking OK in the message box rolls back the installation. The SYSTEM account does not have Full Control permissions on the fold in which Windows Installer is trying to install. Because the Windows Installer service uses the SYSTEM account during this process, without these permissions, the program cannot continue.
Tips for resolving the error code 1603 in Windows.
Administrative privileges must be granted to the person installing the software. On the Windows desktop, double-click My Computer. The My Computer window appears. Right-click the drive that you want to install the Windows Installer package to, and then click Properties. Click the Security tab. On the Security tab, do the following: If you are using Microsoft Windows 2000, verify that the Name box contains the SYSTEM user account. If you are using Microsoft Windows XP, verify that the Group or user names box contains the SYSTEM user account. If the SYSTEM user account does not appear in the box, follow these steps to add the SYSTEM account to the box: Click Add. The Select Users or Groups dialog box appears. In the Name field, click SYSTEM, and then click Add. Click OK. In the Permissions section, click to select the Full Control check box under Allow, and then click Advanced. If you are using Windows XP, in the dialog box that appears, click to select the Replace permission entries on all child objects with entries shown here that apply to child objects check box for the SYSTEM account, and then click OK. If you are not using Windows XP, in the dialog box that appears, click to select the Reset permissions on all child objects and enable propagation of inheritable permissions check box for the SYSTEM account, and then click OK. Note If you receive a security message, click Yes. Wait for the operating system to apply the permissions that you have selected to all child folders. Run the Windows Installer package.
TipFor more information, please see: How to fix Update error #1603