Windows 7 has really nice backup and recovery features. However, they are not as well worked out as the day-to-day windows features, and, hence, lacking in user-friendliness.
I struggled quite some time before I realised the error message 0x800704CF was due to the network chip driver not being loaded. What I had to do to be able to restore the system image over the network, was to first load the network driver from the CD-Rom that came with the motherboard.
What really fooled me the most was the authentication dialog probing for network credentials popping up. Why ask if you don’t have access to the network?
For my new Asus P8Z68-V Pro motherboard, to load the network driver, I had to browse to E:\Drivers\LAN\APPS\SETUP\SETUPBD\Winx64\, and instead of double-clicking on an INF or SYS file, I had to launch the program:
by means of a right click on the SetupBD Application, and then selecting “Run As Administrator”.