Windows Server 2008: A smart card logon to a terminal session stops responding server that is running Windows Server 2008 and Windows Server 2008 R2

SUPPORT SOLUTION:
Consider the following scenario: Users connect to a terminal server that is running Windows Server 2008. Note The users connect by using remote desktop connections or third-party Remote Desktop Protocol (RDP) clients.The users use smart cards to log on to the terminal sessions.One user runs a smart card transaction.In this scenario, the smart card logons stop responding. The smart card modules for the cryptographic service provider (CSP) maintain a smart card handle cache. When a terminal session is created by using a smart card, the server queries the cache to validate the smart card handle. However, the cache does not support multiuser session environments very well. Therefore, if a user runs a smart card transaction, all other users who use a smart card in the logon process are blocked. To fix this problem, install hotfix 949538 on the terminal servers that are running Windows Server 2008. After the hotfix is installed, the smart card logon process of one user does not affect the logon process of the other users. Hotfix information
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A supported hotfix is available from Microsoft. However, this hotfix is intended to correct only the problemP1 that P2 described in this article. Apply this hotfix only to systems that are experiencing the problemP1 described in this article. This hotfix might receive additional testing. Therefore, if you are not severely affected by this problem, we recommend that you wait for the next software update that contains this hotfix.If the hotfix is available for download, there is a “Hotfix download available” section at the top of this Knowledge Base article. If this section does not appear, contact Microsoft Customer Service and Support to obtain the hotfix. Note If additional issues occur or if any troubleshooting is required, you might have to create a separate service request. The usual support costs will apply to additional support questions and issues that do not qualify for this specific hotfix. For a complete list of Microsoft Customer Service and Support telephone numbers or to create a separate service request, visit the following Microsoft Web site: http://support.microsoft.com/contactus/?ws=support (http://support.microsoft.com/contactus/?ws=support) Note The “Hotfix download available” form displays the languages for which the hotfix is available. If you do not see your language, it is because a hotfix is not available for that language.Important Windows Vista and Windows Server 2008 hotfixes are included in the same packages. However, only one of these products may be listed on the “Hotfix Request” page. To request the hotfix package that applies to both Windows Vista and Windows Server 2008, just select the product that is listed on the page.Prerequisites
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To apply this hotfix, your computer must be running one of the following operating systems (note that the hotfix is not needed on Windows Server 2008 R2):  Windows Server 2008 Windows Server 2008 Service Pack 2Restart requirement
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You must restart the computer after you apply this hotfix.Hotfix replacement information
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This hotfix does not replace any other previously released hotfixes. Registry information
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Warning Serious problems might occur if you modify the registry incorrectly by using Registry Editor or by using another method. These problems might require that you reinstall the operating system. Microsoft cannot guarantee that these problems can be solved. Modify the registry at your own risk. To resolve this problem after you apply this hotfix, you must create the following registry item, and then set its value to 1:Location: HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Cryptography\Calais\Cache Name: FilterCSPCardCacheByTSSessionConnectTime Type: REG_DWORD Value: 0 or 1To resolve this problem after you apply this hotfix, you must enable this registry item. Set the value of this registry item to 1 to enable this registry item. When you enable this registry item, the server uses the session connect time and the session ID to evaluate the smart cards in the cache.Note If you set the value of this registry item to 0, you disable this registry item.

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