Troubleshooting App-V error 0A-400000C8
When streaming a Microsoft App-V package with Configuration Manager 2007, you can experiencing issue “0A-400000C8″. If you set the advertisement to “Stream virtual applications from distribution point” then it would fail, but if you set the advertisement to “Download content from distribution point and run locally” then everything worked just fine. When the application failed it would generate a 0A-400000C8 error similar to the one below:

You can receive this error when you have a proxy configured that is interfering with the streaming of the package. Since streaming uses HTTP and downloading does not, this is why one worked and the other didn’t.
When ForeFront TMG Web Proxy Server is in place, the problem is caused by the malware inspection feature .
If you are using Forefront TMG be sure to add the SCCM (streaming enabled) Distribution Point to the Malware Destination Exceptions.

You wont see this error with Application Virtualization Management Server when using RTSP or RTSPS as streaming protocol.
You wont see it even with SCCM if “Download content from distribution point and run locally” is selected because this uses BITS to transfer the whole package to the client and run it locally. Since SCCM uses HTTP/HTTPS for streaming the connection will go to the proxy server and will be killed by Malware Inspection.
If you see “an unexpected error” with the Error Code like: 0A-400000C8 try to disable the Proxy on the Clients for further research.