Intel Matrix Storage Manager disables Windows Update and Windows Validation on Windows 7 64-bit

I have a Lenovo ThinkPad R61 8918CTO on which I did a clean install of Windows 7 Ultimate SP1 (64-bit) on a new Seagate Momentus XT 750GB drive. The installation was trouble-free, as were all of the post-install Windows Updates.
Then I installed ThinkVantage System Update 4.03 and used it to install most of the available Lenovo updates. Big mistake. I'll spare you a detailed account of the hours I wasted troubleshooting, rolling back to previous restore points, and doing more troubleshooting, but it turns out that installing Intel Matrix Storage Manager driver v. 8.9.2.1002 caused Windows Update and Windows Validation to fail.
Symptoms: Windows Update control panel can't check for updates and reports that the Windows Update service isn't running when it actually is. Online Windows Validation fails and the standalone Windows Validation utility won't install. Microsoft programs that require a validated copy of Windows (e.g., Microsoft Security Essentials) won't install. 
Solution: Roll back the driver for the relevant SATA controller to the previous driver.
I've reinstalled ThinkVantage System Update 4.03 and hidden the proposed Intel Matrix Storage Manager update; since then, I've used it to complete my Lenovo updates without issue.
I hope this post will help other people with this problem find the solution a lot faster than it took me!

This happened after installing a new advanced format drive with 4k-byte sectors, I'd guess.  If the storage driver doesn't report the physical sector size to Windows, update fails.
I just ran across this myself (again) putting Win 7 on a T400.
I don't know why this is still going on.  It may be that the update lists for older machines still have pre-AF-drive drivers listed.
FYI, another fix is going to the Intel site and installing the latest Matrix Storage Manager AHCI driver.  This may be more desirable than rolling back to an older driver in some cases.
Z.
The large print: please read the Community Participation Rules before posting. Include as much information as possible: model, machine type, operating system, and a descriptive subject line. Do not include personal information: serial number, telephone number, email address, etc.  The fine print: I do not work for, nor do I speak for Lenovo. Unsolicited private messages will be ignored. ... GeezBlog
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