[BUG] [Windows] Claude Desktop stuck in Modified, NeedsRemediation and CoworkVMService fails to start

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?

Claude Desktop on Windows became unusable and remains registered as an AppX package with the status Modified, NeedsRemediation.

The bundled CoworkVMService is registered as an automatic Windows packaged service, but it cannot be started.

The service executable exists at the exact path configured in the service, but Windows returns error 87 (The parameter is incorrect) when attempting to start it.

Re-registering the AppX package did not resolve the issue, and the package continues to report Modified, NeedsRemediation.

What Should Happen?

Claude Desktop should register correctly as an AppX package without entering the Modified, NeedsRemediation state.

When Cowork is required, CoworkVMService should start successfully and Claude Desktop should launch normally.

Re-registering the AppX package should restore a corrupted package registration if that is the intended recovery mechanism.

Error Messages/Logs

AppX package status:

Name    : Claude
Version : 1.32885.1.0
Status  : Modified, NeedsRemediation

PackageFullName:
Claude_1.32885.1.0_x64__pzs8sxrjxfjjc

CoworkVMService:

Status      : Stopped
StartType   : Automatic
ServiceType : 528

sc.exe qc CoworkVMService:

TYPE               : 210  WIN32_PACKAGED_PROCESS
START_TYPE         : 2   AUTO_START
DISPLAY_NAME       : Claude
DEPENDENCIES       : staterepository
SERVICE_START_NAME : LocalSystem

BINARY_PATH_NAME:
"C:\Program Files\WindowsApps\Claude_1.32885.1.0_x64__pzs8sxrjxfjjc\app\resources\cowork-svc.exe"

The executable exists:

Test-Path "...\\app\\resources\\cowork-svc.exe"
True

Starting the service:

Start-Service CoworkVMService

Result:
Cannot start service CoworkVMService on computer '.'

Using sc.exe:

sc.exe start CoworkVMService

[SC] StartService FAILED 87:
The parameter is incorrect.

Also include the relevant AppModel Runtime event:

Failed with 0x5 modifying AppModel Runtime status for package
Claude_1.32885.1.0_x64__pzs8sxrjxfjjc
(current status = 0x280002, desired status = 0x480002)

Steps to Reproduce

1. Install Claude Desktop on Windows.
2. Launch Claude Desktop.
3. The application becomes unusable / fails to operate correctly.
4. Check the installed AppX package:

Get-AppxPackage -Name Claude |
Select-Object Name, Version, Status, InstallLocation

1. Observe that the package reports:

Modified, NeedsRemediation

1. Check the Cowork service:

Get-Service CoworkVMService

1. Observe that the service exists but is stopped and configured as Automatic.
2. Attempt to start it:

Start-Service CoworkVMService

1. The service fails to start.
2. Attempt the same operation using:

sc.exe start CoworkVMService

1. Windows returns:

[SC] StartService FAILED 87:
The parameter is incorrect.

1. Verify that the executable referenced by the service actually exists.
2. Re-register the AppX package:

$pkg = Get-AppxPackage -Name Claude
Add-AppxPackage -DisableDevelopmentMode -Register "$($pkg.InstallLocation)\AppxManifest.xml"

1. Check the package status again.
2. The package still reports:

Modified, NeedsRemediation

Claude Model

Not sure / Multiple models

Is this a regression?

Yes, this worked in a previous version

Last Working Version

Unknown. A previous version of Claude Desktop was working correctly on this system.

Claude Code Version

Not applicable — this report concerns Claude Desktop / CoworkVMService rather than the Claude Code CLI.

Platform

Other

Operating System

Windows

Terminal/Shell

PowerShell

Additional Information

The issue appears to be related to the Windows AppX/MSIX package registration and the bundled Cowork packaged service rather than normal Claude user data.

I completely removed Claude's user-data directories, including:

• %LOCALAPPDATA%\Claude
• %LOCALAPPDATA%\Claude-3p
• %LOCALAPPDATA%\Claude-Data
• %APPDATA%\Claude Code
• C:\ProgramData\Claude

I also stopped related processes and the CoworkVMService before attempting recovery.

After cleaning the data and re-registering the AppX package, the package still reports:

Modified, NeedsRemediation

The Cowork service also remains registered but cannot be started.

The service points to cowork-svc.exe, and that executable exists at the expected location.

Relevant AppModel Runtime events show repeated creation/destruction of Claude Desktop AppX containers and state transitions, including a 0x5 failure while modifying the AppModel Runtime status.

This makes me suspect a Windows AppX/MSIX registration or packaged-service issue, potentially related to the Cowork implementation in this version.

I would appreciate confirmation whether this is a known issue with Claude Desktop 1.32885.1.0 on Windows and whether there is a supported cleanup/recovery procedure.