The error “0xC004F061″ is related to activation of Windows 7. Reason for this error is using a product key for an upgrade version of Windows 7 and a previous version of Windows wasn’t on your computer when Windows 7 was installed. Windows Vista or Windows XP must be installed on the computer before you install an upgrade version of Windows 7.
Do not format the drive before starting the installation process before upgrading the product key to activate Windows 7.
For more info visit: Â Windows 7 activation error: invalid product key.