I do not think it was the update at all. But if it was the update you can boot into safe mode with commadn prompt and launch the system restore utility using this command:
rstrui.exe it lives in your Windows\System32 directory. You can read more about it here.
But if that does not get you back up you will need to modify the system registry if you can not log on to your machine in normal or safemode you will need to do this from a networked computer.
Follow these steps:
* Run Regedit.exe
* Point your cursor to HKEY_LOCAL_MACHINE
* Select File > Connect Remote Registry
* Type computer name (infected computer)
* Navigate to the following location in registry of destination or infected computer
* Edit these two values in right pane:
* Change these two values to
Userinit = x:\windows\system32\userinit.exe
* Exit from Registry
* Restart Infected computer.
* You should be able to log on to computer.
I have to admit that win2k3 sbs is really “one of a kind”
Maybe you can try login in safe mode and remove the update…
Does your server updates patches on the internet? If you don’t want this to happen, just disable the automatic update service.