I've had a quick spin round the Google world and found a few things which whilst not the answer I was looking for, do give an indication. The error seems to occur when Windows is trying to allocate resources to lots of things at the same time. The general opinion seems to be that it is an intermittent fault and retrying the process may well work. Do I assume you are running the upgrade on line? Can you download the complete package to your hard disk from the Microsoft corporate site? If you can then I would stop as many processes running as you can, in particular anti virus and firewall, remove your net connection and then retry the install.
The message refers to an ODBC (Open Database Connectivity) key in the registry which is of little importance so I think it's a bit of a red herring. Before starting again you could try backing up the registry yourself by clicking on Start, Run then Regedit and click OK. Click on File, Export and see if you can save a copy successfully.
Do you know that we're all in line for succession to the throne? Really? Well, if forty-eight million, two hundred thousand, seven hundred and one people died I'd be Queen.
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