[BUG]

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

Cowork fails to start with "Virtualization is not available — Claude's workspace requires Hyper-V, but the virtualization service isn't responding." — despite all Hyper-V components being fully enabled and verified. The VM fails with HRESULT 0x80370102.

What Should Happen?

Cowork should detect that Hyper-V is fully enabled and successfully launch the workspace VM without errors.

Error Messages/Logs

[error] [VM:start] VM boot failed: HCS operation failed: failed to create compute system: HcsWaitForOperationResult failed with HRESULT 0x80370102: {"Error":-2143878910,"ErrorMessage":"The virtual machine could not be started because a required feature is not installed.","ErrorEvents":[{"Message":"Cannot create system 'cowork-vm' since Hyper-V is not installed on the host.","Provider":"17103e3f-3c6e-4677-bb17-3b267eb5be57","EventId":11008}]}
[error] [VM:start] HCS error detected, available=true, missing=[], sentinel=HYPERVISOR_SERVICE_ERROR
[error] [VM:start] Startup failed: Error: HYPERVISOR_SERVICE_ERROR

Steps to Reproduce

1. Install Claude Desktop (MSIX) on Windows 11 Pro Education
2. Enable all Hyper-V components via PowerShell (Microsoft-Hyper-V-All, HypervisorPlatform, VirtualMachinePlatform)
3. Run: bcdedit /set hypervisorlaunchtype auto
4. Restart the computer
5. Verify CoworkVMService and vmcompute are Running
6. Open Claude Desktop and click the Cowork tab
7. Error appears immediately: "Virtualization is not available"

Claude Model

None

Is this a regression?

I don't know

Last Working Version

_No response_

Claude Code Version

Claude Desktop 1.1.6041 (MSIX/Store — Claude_pzs8sxrjxfjjc)

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

Terminal.app (macOS)

Additional Information

• OS: Windows 11 Pro Education
• Not domain-joined, no GPO restrictions (verified via gpresult /H)
• All Hyper-V features: Enabled (Microsoft-Hyper-V-All, Hypervisor, Services, Tools, HypervisorPlatform, VirtualMachinePlatform)
• bcdedit hypervisorlaunchtype: Auto
• CoworkVMService: Running
• vmcompute (Hyper-V Host Compute Service): Running
• No VMware / VirtualBox / Docker / WSL installed
• No third-party hypervisors detected
• Full log available at: %LOCALAPPDATA%\Packages\Claude_pzs8sxrjxfjjc\LocalCache\Roaming\Claude\logs\cowork_vm_node.log

cowork_vm_node.log