Does not appear .Net was installed correctly, since this account is created when you install the .Net framework.  You can use the aspnet_regiis.exe program to reinstall the framework.  You can find this application in the C:\{windows directory}\Microsoft.NET\Framework\{framework version you want to install the framework for}.

I am getting this error now.

DotNetNuke Configuration Error

Object reference not set to an instance of an object.

DotNetNuke has extensive file upload capabilities for content, modules, and skins. These features require custom security settings so that the application is able to create and remove files in your website.

Using Windows Explorer, browse to the root folder of the website ( C:\DotNetNuke by default ). Right-click the folder and select Sharing and Security from the popup menu ( please note that if you are using Windows XP you may need to Enable Simple File Sharing before these options are displayed ). Select the Security tab. Add the appropriate User Account and set the Permissions.

If using Windows 2000 - IIS5
- the {Server}\ASPNET User Account must have Read, Write, and Change Control of the virtual root of your website

If using Windows 2003 - IIS6
- the NT AUTHORITY\NETWORK SERVICE User Account must have Read, Write, and Change Control of the virtual root of your website

I decided to try from the beginning again.

From VMD2005 I do  File – New Website – DotNetNuke  Web Application Framework (HTTP;VB) Named DotNetNuke Website

 

Build Successful

 

There is already a Database named Database under App_Data in solutions explorer

 

There is already a file named Web.config so I can’t rename Release.config to Web.config.

 

I set the permission for ASPNET and Network Service on the Website folder located at C:\inetpub\wwwroot\Dotnetnuke Website

 

I press Ctrl – F5

 

And I get this:

You are not authorized to view this page

You might not have permission to view this directory or page using the credentials you supplied.

If you believe you should be able to view this directory or page, please try to contact the Web site by using any e-mail address or phone number that may be listed on the localhost home page. You can click Search to look for information on the Internet. HTTP Error 403 - Forbidden Internet Explorer