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The local security authority is unable to obtain an RPC connection to the Domain controller

Error message: "The local security authority is unable to obtain an RPC connection to the Domain controller"

Problem description: when you try to establish a trust from a domain controller running inside a VMWare virtual machine, the trust is not established. The possible cause provided by Microsoft is a DNS name resolution or RPC problem.

Cause: in fact, it has nothing to do with a DNS or RPC problem whatsoever. The origin of the problem is in a VMWare Tools component, nl. Shared Folders. The purpose of this component is to be able to share files between a management workstation and the virtual machine.

Resolution: uninstall the Shared Folders component in your virtual machine (DC).
Go to Add/remove programs => VMWare Tools => click "change" => next => deselect "Shared Folders".
Make sure you do this on all VMware DCs
Reboot the machine.
Establish the trust.

A workaround also exists, but I don 't recommend it: make the passwords on each domain equal for your enterprise admins who are about to initiate the trusts.

Applies to: Windows 2003 Server (and probably also Windows 2000 Server)

More information:
http://blogs.dirteam.com/blogs/jorge/archive/2005/11/14/60.aspx

Updated: July 16, 2010