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If you get the following error message when trying to add a web reference to a project you don't need to reinstall Visual Studio.

The web services enumeration components are not available. You need to reinstall Visual Studio to add web references to your application.

Just run the following command from the Visual Studio command window:

devenv /resetskippkgs

Copied from http://support.microsoft.com/kb/968749

SQL Server 2005 setup fails when MSXML Core Services 6.0 Service Pack 2 has already been installed.

Consider the following scenario:

• You have a Windows XP-based computer on which you apply the update for Microsoft XML Core Services (MSXML) 6.0 that is described in the following Microsoft Knowledge Base article:

954459 (http://support.microsoft.com/kb/954459/ ) MS08-069: Description of the security update for XML Core Services 6.0: November 11, 2008

• After you apply this MSXML update, you upgrade the computer to Windows XP Service Pack 3 (SP3).

When you try to install Microsoft SQL Server 2005 in this scenario, you receive the following error message:

Installation of MSXML 6 Service Pack 2 (KB954459) failed because a higher version already exists on the machine. To proceed, uninstall the higher version and then run MSXML 6 Service Pack 2 (KB954459) Setup again.

The screen shot of this error is as follows:
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If you examine the SQL Server setup log file, you find that the following error has been logged:

This package is not supported on this operating system.
SkipInstallCA. Return value 3.

Fatal error during installation
MainEngineThread is returning 1603

Error code 1603
Product: MSXML 6.0 Parser (KB933579)
Installation failed.
If you examine the MSXML setup log file, you may find that the following error has been logged:

Action start Time: SkipInstallCA.
This package is not supported on this operating system.
Action ended Time: SkipInstallCA. Return value 3.
Action ended Time: INSTALL. Return value 3.
......
MSI (s) (9C:00) [Time]: Note: 1: 1729
MSI (s) (9C:00) [Time]: Product: MSXML 6 Service Pack 2 (KB954459) – Configuration failed. ......
MSI (s) (A00) [Time]: Note: 1: 1708
MSI (s) (A00) [Time]: Product: MSXML 6 Service Pack 2 (KB954459) – Installation failed.

You can find the setup log files in the following folder:
%WINDIR%\Program Files\Microsoft SQL Server\90\Setup Bootstrap\Log
Note This issue affects all editions and releases of SQL Server 2005.
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CAUSE
When SQL Server Setup tries to install MSXML 6.0 SP2, it detects that the versio...
When SQL Server Setup tries to install MSXML 6.0 SP2, it detects that the version of MSXML 6.0 that is described in Knowledge Base article 954459 is already installed on the computer. Therefore, the validation process indicates that the current version of MSXML 6.0 should not be replaced. This stops the installation of both MSXML 6.0 and SQL Server 2005.
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WORKAROUND
To work around this issue, use the Windows Installer CleanUp utility to remove r...
To work around this issue, use the Windows Installer CleanUp utility to remove references to MSXML 6.0 Service Pack 2. To do this, follow these steps:

1. Download the Windows Installer CleanUp utility. To do this, visit the following Microsoft Web site:
http://support.microsoft.com/kb/290301 (http://support.microsoft.com/kb/290301)

***Note: This utility has been attached just in case the link is broken (Often happens with the MS website)

2. Run the Windows Installer CleanUp utility.
3. Select MSXML6 Service Pack 2 (KB954459) [6.20.1099.0] in the list, and then click Remove.
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4. Install SQL Server 2005.