Remote desktop “Launch initial program” doesn’t work

Try replacing the file with a good copy from another PC. If that still doesn't work try doing a full repair of the windows install, not recovery console, a full repair. This may take a little longer but will almost certainly fix the problem and you won't lose any data or settings. If you don't have another 7 PC you can install RDP 7 on a vista or xp machine and copy the dll from that pc, it is basically the same thing. My last idea would be to install your own MSTC, this is fairly easy and in fact company's like AEP's Netilla will push there own MSTSC client on you as not to interfere with the default windows one. It's a total of 5 reg keys that need to be added and 4 files. I can help you with this if need be.

I solved the problem by going Start -> Administrative Tools -> Windows Firewall with Advanced Security and creating a new Inbound rule for port 3389. The rule still isn't showing up in the list, however, but it is active.

Just a friendly warning! Watch out for Panasonic FPWIN Pro 6.3! It will trash your firewall rules.