I just completed downloading I.E.8 and after reboot I ger the message: "This application has failed to start because WININET.dll was not FOUND.  Re-installing the application may fix this problem."  I hit the OK button, but the desk top image loads but no tool bars or icons.   I try to start in safe-mode and the same THING happens.  I'm using XP home on a older HP computer. Did you try Last known good configuration?I can't get past the ERROR message even when I start in safe mode??  In safe mode when I roll back, I STILL get the message and desk top with no icons or toolbars.  I can get to the dos commands, so I can get to a C prompt.1. If you have Windows CD, follow the steps from here: http://icrontic.com/articles/repair_windows_xp

2. If you don't have Windows CD...
Download Windows Recovery Console: http://www.thecomputerparamedic.com/files/rc.iso
Download, and install free Imgburn: http://www.imgburn.com/index.php?act=download
Using Imgburn, burn rc.iso to a CD.
Boot to the CD...let it finish loading.
When the "Welcome to Setup" screen appears, press R to start the Recovery Console.
Then, follow the steps from here: http://icrontic.com/articles/repair_windows_xp, starting below this picture on page 1: