thanks people,
I found a far simpler solution.
A friend of mine gave me a copy he found, with SP2 already integrated, it works perfectly, even "Office update" suddenly work.
So no more silly crap from MS, I am sorry I even bought this in the first place.
I hope I won't get banned, by really, I need to get some work done, and after spending hours waiting for MS tech support to solve this issue and being treated like a pirate I said, "Hey, now that's an idea" ;-))
Just my 2c