Is it possible to create a "Full" Windows 7 Live DVD?

Ok, based on all the information you've given:

You cannot run a "full version" of Windows 7 on a DVD. 1, a full install is too big and, 2, a full version of windows needs to be able to write to it's source, and so a DVD will not work.

If it is completely impossible to boot from a USB disk, and a full install of Windows 7 via DVD is out, you are much more limited in your options, but at least you now have a better idea of what you can and cannot do.

There are Live CD's of Linux and Windows, but if your needs are for .Net and Mono (a Linux-compatible implementation of .Net) will not work, then you need Windows.

Once again, the assumptions are:

  1. There is no possible way to boot to a USB drive.
  2. You need .Net and not Mono or any alternatives.
  3. Windows will not run as a full install from a DVD, both for space and for needing a writable "base" media.

So the only option then is a Live Windows disk with preinstalled .Net components.

If Windows XP is an option, it is a lot easier to fit onto a disk, and .Net (up to Runtime 4 I believe) will run on it and can be installed as part of the Live disk setup. Try PE Builder if this option will work for you: http://www.instantfundas.com/2007/11/how-to-create-windows-xp-live-cd.html

I cannot find an option for Windows 7 live that explicitly states it allows .Net function. Though Windows 7 has .Net implemented by default, so unless it's a specific .Net toolset not included by default, you may find it'll work without needing anything special.

Here's another possibility:

http://www.hanselman.com/blog/GuideToInstallingAndBootingWindows8DeveloperPreviewOffAVHDVirtualHardDisk.aspx

These are instructions on how to boot from a VHD, or Virtual Hard Disk, such as the Windows 8 Developer Preview. Creating a Windows 7 VHD shouldn't be too hard and it should work with your licensing strictures.

If you've got a large enough USB drive, this may be a way around the problems booting from USB. It looks like you could replace the booting from USB steps with booting from a disk, and then mount the VHD stored in the USB drive at the appropriate point in the setup process.


Check this tutorial.

http://www.rmprepusb.com/tutorials/win7onusb

Important:RMB does not play a role in booting a USB Flash Drive.

A USB Flash drive can be booted irrespective of whether the RMB is set or not.

Please note: This tutorial enables you to prepare a USB drive so that you can boot directly to Windows 7 from the USB drive. So now you can try Windows 7 without needing to install it onto your internal hard disk!

Note: This tutorial does not make a Windows installer USB drive, it actually puts a copy of Windows 7 onto a USB drive and makes it bootable. When you have made it, you can boot from it as follows:

  1. Connect the prepared external USB drive (hard disk or Flash drive) to the target system (use a USB 2.0 port NOT a USB 3.0 port!)
  2. Switch on the system
  3. Select the USB drive as the boot device in the BIOS boot menu
  4. Now allow the system to boot to Windows 7 directly from the USB drive.
    • it does not matter what is on the internal hard disk of the target system, even if the internal hard disk is broken/not working.