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When I try to get latest windows updates, windows (7 home) tells me that it needs to update the windows update. And that the Update window needs to be restarted in order to do that. After that restart I get error "WindowsUpdate 8007006D". Googlin that code doesnt' give me any more information.

This is my windows update log:

2012-06-30  09:57:36:212    4956    2e8 Report  REPORT EVENT: {102103FB-11A6-4FF5-B910-75D5B104956B}    2012-06-30 09:57:30:865+0300    1   182 101 {61CA813A-7585-442E-A66B-B0D15CE6BDC0}  1   8007006d    SelfUpdate  Failure Content Install Installation Failure: Windows failed to install the following update with error 0x8007006d: Windows Update Setup Handler.
2012-06-30  09:57:36:231    4956    2e8 Report  CWERReporter::HandleEvents - WER report upload completed with status 0x8
2012-06-30  09:57:36:231    4956    2e8 Report  WER Report sent: 7.5.7601.17514 0x8007006d 61CA813A-7585-442E-A66B-B0D15CE6BDC0 Install 101 Unmanaged
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Could you post a screenshot? I've never ever heard of Windows Updates having to update itself in Windows 7. – nhinkle Jun 30 '12 at 7:48
@nhinkle: Microsoft recently released a WU update related to the Flame malware. As it happens, I believe this is indeed the first one since Windows 7 was released. Unless you happen to explicitly request an update scan at just the right time, WU updates install silently, so most people don't even notice. – Harry Johnston Jun 30 '12 at 11:43
@Badr: have you tried rebooting the system? The problem might be temporary. – Harry Johnston Jun 30 '12 at 11:46
Interesting. I guess that explains why I hadn't heard of it before. Do you think perhaps there might be malware preventing the update from running? Have you tried downloading the KB manually? Sometimes you can download an update package and install it manually. – nhinkle Jun 30 '12 at 18:36
@Harry Rebooting was the first thing I did, nhinkle I made a clean install few days ago... now I'm trying to get all the updates. Never had a problem before. So I doubt it's a matter of malware. – Badr Hari Jun 30 '12 at 21:48

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