Win10 Error: "We can't set up mobile hotspot."

I had the same problem, I couldn't get that to work but there is a way to activate a hotspot, follow the steps below.

1. Open CMD as Admin (WIN+X, "Command Prompt (Admin)"). Enter the commands as below.

2. netsh wlan set hostednetwork mode=allow ssid=name key=pw

   • Substitute your preferred Hotspot Network Name for name and Password for pw

3. netsh wlan start hostednetwork

4. Go to "Settings>Network & Internet>Wi-Fi>Change adapter options" and look for a new "Local Area Connection #..." (It should show "Microsoft Hosted Network Virtual Adapter" as the Adapter). Right-click this and select "Properties", then select the "Sharing Tab. Check "Allow other network Users to connect through this computer's Internet connection"

Troubleshooting: If you find any errors such as "The group or resource is not in the correct state to perform the requested operation.":

• Type Win+X
• Go to Device Manager
• View / Check Show Hidden Devices
• Search for a Network driver called "Microsoft Wi-Fi Direct Virtual Adapter"
• Disable / Enable it
• Go back to the Mobile Hotpost settings
• Now you might be able to enable it