[BUG] [BUG] Cowork VM service not running — HYPERVISOR_SERVICE_ERROR / HCS 0x80370102 (Windows 11 Pro, AMD Ryzen, all Hyper-V features enabled)

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 "VM service not running / The service failed to start" error. The cowork_vm_node.log shows HYPERVISOR_SERVICE_ERROR / HCS error 0x80370102: "Cannot create system 'cowork-vm' since Hyper-V is not installed on the host." This occurs despite all Hyper-V features being enabled, virtualization enabled in BIOS, and all standard troubleshooting steps having been attempted. Cowork has never worked on this machine.

What Should Happen?

Cowork should detect that all virtualization features are enabled and successfully start the VM workspace.

Error Messages/Logs

2026-03-21 00:09:07 [info] [VM:steps] create_vm_config started
2026-03-21 00:09:07 [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,"Data":[{"Type":"String","Value":"cowork-vm"},{"Type":"String","Value":"%%2151088386"},{"Type":"String","Value":"0x80370102"}]}]}
2026-03-21 00:09:07 [error] [VM:start] HCS error detected, available=true, missing=[], sentinel=HYPERVISOR_SERVICE_ERROR
2026-03-21 00:09:07 [info] Dispatching startup error: HYPERVISOR_SERVICE_ERROR
2026-03-21 00:09:07 [error] [VM:start] Startup failed: Error: HYPERVISOR_SERVICE_ERROR
2026-03-21 00:09:07 [warn] [VM:start] Heartbeat restart failed, leaving VM offline (will retry on next app launch)

Steps to Reproduce

Install Claude Desktop v1.1.7714 on Windows 11 Pro (AMD Ryzen 7 5825U)
Ensure all virtualization features are enabled (Hyper-V, HypervisorPlatform, VirtualMachinePlatform)
Confirm virtualization is enabled in BIOS
Open Claude Desktop
Click the Cowork tab
Observe "VM service not running / The service failed to start" error
Check %LOCALAPPDATA%\Packages\Claude_pzs8sxrjxfjjc\LocalCache\Roaming\Claude\logs\cowork_vm_node.log — shows HCS error 0x80370102 at create_vm_config step

Claude Model

None

Is this a regression?

No, this never worked

Last Working Version

_No response_

Claude Code Version

Claude Desktop version: 1.1.7714 (3bd6f6)

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

Environment

Claude Desktop version: 1.1.7714 (3bd6f6)
OS: Windows 11 Pro
Processor: AMD Ryzen 7 5825U with Radeon Graphics
Shell: Windows PowerShell
Platform: Claude Desktop (Windows)
Subscription: (add your plan here — Pro/Max etc.)

Diagnostics Confirmed

Microsoft-Hyper-V-All: Enabled
HypervisorPlatform: Enabled
VirtualMachinePlatform: Enabled
bcdedit hypervisorlaunchtype: Auto
VirtualizationFirmwareEnabled: True
vmms service: Running (Automatic)
HvHost service: Started manually (was set to Manual — set to Automatic, did not resolve issue)
Device Guard / VBS: Not enabled (VirtualizationBasedSecurityStatus: 0)
WSL: Not installed
Docker / VMware / VirtualBox: Not installed
No VPN software installed

Additional Information
This issue has never worked on this machine since initial install. The VM bundle directory (AppData\Roaming\Claude\vm_bundles\claudevm.bundle) was deleted and Claude was restarted — error persists. Multiple full system reboots attempted — error persists. The failure always occurs at the create_vm_config step. All virtualization prerequisites appear correctly configured, making this appear to be a bug in how Cowork/HCS interacts with this hardware or Windows configuration.