Hey there, Doug,
I am not going to delete/edit this post, simply because it took me so blankety-blank long to generate.
HOWEVER, I stumbled onto a Microsoft FixIt for this exact problem! http://support.microsoft.com/kb/330132
Go get 'em!
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If you did
exactly what I asked, then you would see desktop.ini files on your Desktop and in Your Startup Folders (both All Users' and the currently logged-on User's). Your screenshot cuts off before the
"Hide protected operating system files (Recommended)" option. Please make sure that that option is
unchecked. Again, does your Folder Options> View tab show exactly what is shown in the highlighted area of my
new attachment?
I tried deleting the desktop.ini file from the Startup folders from
two of my Windows 7 installs on two different computers, 32- and 64-bit.
[.ShellClassInfo]
LocalizedResourceName=@%SystemRoot%\system32\shell32.dll,-21787
None caused any boot problems. Since you know you can restore it if your hang problem recurs, please try deleting the desktop.ini files from the Startup folders for both "All Users" and the currently logged on User by going to
Start> All Programs> Startup and then:
1. Right-clicking the Startup Folder and clicking
"Open all users"; delete the desktop.ini file. Close.
2. Repeat Start> All Programs> Startup; right-click the Startup Folder but, this time, click
"Open" and delete the desktop.ini file. Reboot and you should be fine.
I do not think any malware is at work here, rather some glitch in your Registry, which deleting the subject files will obviate.
If the Small Annoyance returns, this may be another way to get rid of it:
Trojan Remover, a shareware program
http://www.simplysup.com/ , scans for items loaded/called at boot-time. As its name implies, it specifically looks for trojans but it also looks for calls to "files not found". Therefore, if you delete the desktop.ini files, as I recommend, then the file will not be found when you boot, at which point Trojan Remover will identify whatever may be calling for desktop.ini to display in Notepad. You can then deal with it, once-and-for-all.
BTW: The video you watched advises what you already tried by Post #5 of this thread, except that it also advises you to delete the found file.