I just installed my first GA instance of Microsoft Windows 8 in my lab, and I’m fairly impressed so far. I did however run into an issue where Windows would not activate. When I tried to activate I received the following error: DNS name does not exist Error Code: 0x8007232B
It appears that windows was looking for (by default) a Key Management Service (KMS) host on my internal lab network. Since my lab is merely a testing ground, I have not setup the KMS on any server. So the solution in this scenario is to change the product key to a Multiple Activation Key (MAK).