SkyDrive still runs fine in DESKTOP mode.  However, the actual APP on my desktop (upgraded from Win 7 to Win 8 to Win 8.1) still tells me "Your SkyDrive couldn't be created on this PC."

The TROUBLESHOOTER said that SkyDrive was "fixed" and told me that it did a "SkyDrive Restart and Maintenance" with a green checkmark.  Hasn't changed anything...

I'm not a software developer (I do work with software though) but something tells me that there is some kind of disconnect/miscommunication between the existing SkyDrive Desktop version and the new SkyDrive App that gets installed, during a Win 7 to Win 8 upgrade.  Almost as if the new app refuses to talk to the existing desktop installation.

I think that would be dumb not to test on the MS end.  However, I don't think anyone cares why.  We all just want a fix please!

BTW - My desktop is the only device with this problem after the upgrade.  My new Surface 2 RT is just fine.. and really awesome!  Still some small bugs to crush but I love the freedom and my ability to get real work done, versus my iPad.