You may face "Windows is not Genuine" problem in your Windows 7 PC. During this problem, Windows displays message with the error code: Windows is not genuine. Your computer might not be running a counterfeit copy of Windows. 0x80070005.

The problem may arise due to applying a Plug and Play Group Policy.

Solution: The simplest solution is to disable Plug and Play Policy. Follow the step-by-step guide given below:

1. Login as administrator of your PC.

2. Click Start > Run

3. Type rsop.msc in the search box and hit enter.

4. In the following Resultant Set of Policy window, propagate to:

Computer Configuration / Windows Settings / Security Settings / System Services /

In the right side pane, look for Plug and Play service. You should change the permission to "Not Defined". To do so just double click on the service, Uncheck "Define this policy setting" and choose "Disabled" in the "Select service startup mode" section.

5. Click OK and exit RSoP.

6. Click Start > Type gpupdate /force and hit enter.

Windows will now update the policy. A reboot may be necessary.