SCCM 2007 Error 2302: SMS Distribution Manager failed to process package

You may encounter this error when trying to update a distribution point.  You may also get errors 2348 (failed to decompress).  This can be due to binary differential replication trying to send a corrupted package.

To fix this issue, disable binary differential replication, update and wait for your DPs to replicate.  This causes the ENTIRE package to redistribute (not just the deltas).  You can then safely turn binary differential replication back on.

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