Windows Server 2008 R2 has a new feature component: Bits Compact Server! This is a lightweight Server for Background Intelligent Transfer Service.
SCVMM 2008 R2 makes use of it and enables this feature on the Hyper-V Hosts during Agent installation.
Recently, I had a customer where all Bits Transfers (creatíng, migration, etc) to one particular Host where failing.
ERROR CODE: 0x80072efe
ERROR CONTEXT: 0x00000005
The error in Eventlog is:
Following warning is logged in BITS analytic log:
Log Name: Microsoft-Windows-Bits-CompactServer/Analytic
Date: 16.09.2009 0:49:22
Event ID: 50
As it turned out, removing the host (in this case all cluster nodes) from SCVMM, deleting the Certificates and adding the hosts back to SCVMM resolved the issue.
These steps are also described in here: http://blogs.technet.com/scvmm/archive/2009/07/20/vm-creation-may-fail-and-stall-with-copying-0kb-of-16gb.aspx