Hmmm... sounds a bit odd.
Have you contacted Microsoft Support? I've never had to run it but supposedly, the msdt.exe tool (which is the Microsoft Support Diagnostic Tool BTW) should present you with a dialog that looks like this:
It supposedly requires a Pass Key that the Microsoft Support representative should provide you with.
I guess that would be my first step.
The other option would be to use Microsoft Self Service here. But that would presume you have a working internet connection which I assume you do (since you posted this thread). Obvious really. Unless you're me.
Finally, for your Cricut. You might check out this blog bit about Problems with drivers in Windows 7. Don't know if it will help but it's a place to start.
Let us know how you get on.
Tom (:macwave:... now I remember why I'm a Mac fanboy!)