The setup: Server 2003 R2 SP2, DC & DNS Roles, WSUS SP1 Fresh install, default website (80).

The issue: No status  reported by clients (Servers and workstations), Event ID 13042 in the Application logs on the WSUS server Self-update is not working.

After researching, I came across these 2 forums:

http://www.microsoft.com/communities/newsgroups/en-us/default.aspx?pg=2&p=1&tid=853e8bb5-71c7-4bee-9392-d75dbbf21c6b&dg=microsoft.public.windowsupdate

http://blogs.msdn.com/jjameson/archive/2008/04/08/wsus-clients-failing-with-error-0x80244019-after-installing-wsus-sp1.aspx

The articles were close, but both addressed installing SP1 POST a typical WSUS 3 install, mine was a fresh install at the customer’s site.  The SelfUpdate.msi file was missing, but there was a VB script: installselfupdateonport80.vbs I followed the procedure noted in the forums, and created a SelfUpdate virtual directory as the path did exist, and the files and folders specified were present, including the 2 CAB files.  I set the permissions accordingly, adding the IUSR_ServerName account, as it was missing from the NTFS entries on the SelfUpdate folder located at:

%ProgramFiles%Update ServicesSelfUpdate

Additionally, I ensured that anonymous access was enabled on the newly created virtual directory within IIS.

I then ran iisreset /noforce from the command line on the WSUS server, and then executed the VB script mentioned earlier.

After roughly 10 minutes, the clients began updating their status, and I received the Event ID 13040 Self-update is working.

Next, I ran wuauclt.exe /detectnow on a client machine, waited a few minutes, and checked the update logs at:

%WINDIR%WindowsUpdate.log

And verified it was successfully communicating with the WSUS services, it was.  WSUS status issue resolved.

At the time of this post, MS has not released any hotfixes, or updates to the installation, and this seems to be a pretty common issue.  Hope it helps!