[BUG] Windows: CoworkVMService fails to start — "signature verification initialization failed: failed to get service executable path"

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?

CoworkVMService (WIN32_PACKAGED_PROCESS) fails to start with error: "signature verification initialization failed: failed to get service executable path: The system cannot find the path specified." The service executable exists at the registered path. Hyper-V is enabled and running. HCS DLLs load successfully. The workspace download completes to 100% but then fails with "VM service not running. The service failed to start." This makes Cowork completely unusable.

What Should Happen?

CoworkVMService should start successfully and the Cowork workspace should become operational after the VM download completes.

Error Messages/Logs

cowork-service.log:
2026/04/01 18:02:59.928883 Claude VM Service starting...
2026/04/01 18:02:59.931294 [HCS] vmcompute.dll loaded successfully
2026/04/01 18:02:59.932386 [HCS] computecore.dll loaded successfully
2026/04/01 18:02:59.932386 Procs initialized, HCS ready
2026/04/01 18:02:59.940018 Service error: signature verification initialization failed: failed to get service executable path: The system cannot find the path specified.

Service config:
Type: 528 (WIN32_PACKAGED_PROCESS)
Binary: C:\Program Files\WindowsApps\Claude_1.2.234.0_x64__pzs8sxrjxfjjc\app\resources\cowork-svc.exe
Exit Code: 1066
PackageFullName: Claude_1.2.234.0_x64__pzs8sxrjxfjjc
Test-Path on executable: True

Steps to Reproduce

1. Install Claude Desktop 1.2.234.0 on Windows 11 Pro with Hyper-V enabled
2. Open Cowork tab
3. Click Download to install the workspace VM
4. Download completes to 100%
5. Error: "Failed to start Claude's workspace — VM service not running"

Claude Model

Not sure / Multiple models

Is this a regression?

I don't know

Last Working Version

_No response_

Claude Code Version

1.2.234.0 (Claude Desktop)

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

Troubleshooting attempted:

• Enabled Hyper-V (was disabled) — did not resolve
• Activated Windows (was inactive) — did not resolve
• Full uninstall + clean reinstall (deleted all AppData/ProgramData/Temp Claude folders) — did not resolve
• Re-registered MSIX package (Add-AppxPackage -Register -DisableDevelopmentMode) — did not resolve
• Created filesystem junction to fix separate EXDEV error (OneDrive redirects AppData\Roaming) — fixed download but service still fails
• Verified staterepository service running, vmms/vmcompute running, MSIX package status Ok
• Location: Brazil
• Secondary issue: plugins.claude.ai does not resolve via DNS globally (related to #26951, #29047, #32222)