Sorry to bring this thread back, but I am having the same problem, I am using Windows 7 64-bit professional, and trying to play the sims complete collection. I know the solution is to undo a windows update, but first of all I can't click windows update without my computer freezing (I think I found a way to solve that too, here...........Oh, I can't post links yet..............
You'll see there are still some problems people have in that thread and it isn't a permanent fix, it reappears with your next windows update. It's happening for me still, here and now, so MS hasn't fixed it with any update I've ever gotten.
Anyway, about removing a windows update, is this the only way? Because I would rather not undo a windows update. Although, it would let me play the Sims, I don't want it to fix what/if the update fixes (security issues, bugs, etc) unless perhaps there is another update I've gotten since then that fixes it without the problem that update caused. I'm also using a few items a modder has created from oddsim dot com
Also, do you know a program that can create an ISO/disc image of the sims complete collection discs? I don't like dealing with CD's/DVD's since they get scratched/damaged easily, and like inserting a virtual CD/DVD. However, I've tried a few different programs to do this and none of them have worked. Not Gizmo, not IMGburn, not WinCDEmu.