Express installation fails with "invalid installation package"

I get an error when trying to install the SQL Native Client. It says it cannot find the installation package and to use a valid copy of 'sqlncli.msi'. I've downloaded the Express setup twice and get the same error from both of them.
I'm attempting this in a VMWare session setup for Windows 2K, Advanced Server. I am trying to test my installation and setup procedures. This is not a production setup, just install testing and documentation. I have allocated only 272MB to the VMWare session, which is why the system doesn't meet the recommended settings.
Any help would be greatly appreciated.
Below is the Summary.txt output file.
Microsoft SQL Server 2005 9.00.2047.00
==============================
OS Version : Microsoft Windows 2000 Advanced Server Service Pack 4 (Build 2195)
Time : Wed May 03 09:54:23 2006

CPCWIN2KVM1 : The current system does not meet recommended hardware requirements for this SQL Server release. For detailed hardware requirements, see the readme file or SQL Server Books Online.
Machine : CPCWIN2KVM1
Product : Microsoft SQL Server Setup Support Files (English)
Product Version : 9.00.2047.00
Install : Successful
Log File : c:\Program Files\Microsoft SQL Server\90\Setup Bootstrap\LOG\Files\SQLSetup0003_CPCWIN2KVM1_SQLSupport_1.log
--
Machine : CPCWIN2KVM1
Product : SQL Native Client
Error : An installation package for the product Microsoft SQL Server Native Client cannot be found. Try the installation again using a valid copy of the installation package 'sqlncli.msi'.
--
Machine : CPCWIN2KVM1
Product : Microsoft SQL Server Native Client
Product Version : 9.00.2047.00
Install : Failed
Log File : c:\Program Files\Microsoft SQL Server\90\Setup Bootstrap\LOG\Files\SQLSetup0003_CPCWIN2KVM1_SQLNCLI_1.log
Last Action : InstallFinalize
Error String : An installation package for the product Microsoft SQL Server Native Client cannot be found. Try the installation again using a valid copy of the installation package 'sqlncli.msi'.
Error Number : 1706
--
Machine : CPCWIN2KVM1
Product : Microsoft SQL Server VSS Writer
Product Version : 9.00.2047.00
Install : Successful
Log File : c:\Program Files\Microsoft SQL Server\90\Setup Bootstrap\LOG\Files\SQLSetup0003_CPCWIN2KVM1_SqlWriter_1.log
--
Machine : CPCWIN2KVM1
Product : MSXML 6.0 Parser
Product Version : 6.00.3883.8
Install : Successful
Log File : c:\Program Files\Microsoft SQL Server\90\Setup Bootstrap\LOG\Files\SQLSetup0003_CPCWIN2KVM1_MSXML6_1.log
--
Remove the Native Client in the control panel/add remove programs and rerun the installation.|||

Let us know if this resolved your issue. Feel free to mark the thread as answered if it did.

If you're still having problems I can move this thread to the Setup group to see if they have some ideas.

Regards,

Mike Wachal
SQL Express team

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Check out my tips for getting your answer faster and how to ask a good question: http://forums.microsoft.com/MSDN/ShowPost.aspx?PostID=307712&SiteID=1

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I was having the same problem. I removed the Native Client in the control panel and all seems to be working fine now.

Alex