Q:

What causes "The INF file you selected does not support this method of installation." error?

This question is related to this one. Also, I think it's not duplicate of this question, since I'm not asking about specific device but a more general case.
Where can I find information about driver .inf files and how windows checks if they are usable? I know that many people do modify .inf files so there must be some information on the Internet.
Basically I have a bad .inf file and would like to see what's wrong with it and how to fix it if possible.

A:

In order for the "Right Click/Install" method to work, there must be a [DefaultInstall] section in the INF file and, potentially some other "Default" sections:
[DefaultInstall.Service] 
[DefaultUninstall]
[DefaultUninstall.Service] 

http://msdn.microsoft.com/en-us/library/windows/hardware/ff547465(v=vs.85).aspx
If there is no [DefaultInstall] section, you get the message “The INF file you selected does not support this method of installation.” 

A:

You might try to select the inf file from Device Manager:
Right-click the device, select Update Driver Software, then Let me pick, click Have disk, Browse to the inf file and install.
If this doesn't work, I don't believe you can fix the inf file. The product you have probably doesn't match your operating system (it might be 32-bit when your Windows 7 is 64-bit).
You can also give more information, such as posting the inf file (actually the entire product, if possible).

A:

INF files format reference:  http://msdn.microsoft.com/en-us/library/ms764958(v=VS.85).aspx
It would help to read the Creating Setup Applications (http://msdn.microsoft.com/en-us/library/aa376920(v=VS.85).aspx) page to learn the sequence followed, so you can step through the INF manually.  I suppose a programmer could attach a debugger to setup and figure out what its failing on.

