Yeah, that doesn't look good. For some reason your hard disk is not being recognized. Has it been disabled in the machine's BIOS? Has it been accidentally unplugged from the motherboard? The other option is that the hard disk has completely failed. Can you hear it spin up when you boot the machine?

after reading your reply, I opened up my PC and guess what?....
one of the hard drive connecting cables were unplugged - not the motherboard one, so I did hear my hard drive, but it didnt fully spin.

My windows starts now, but after this situation and coming across knoppix I think Im converted =)

Many thanks tho, and sorry for wasting your time explaining everything to me =)

No, that's fine, I'm glad you found the issue. I had one of those that took me like 8 hours of banging away trying everything I knew before I realized a cable was loose.

Knoppix is a great recovery tool though. Even if you don't switch entirely to linux, you might play around with it and learn a few things in case you ever need to recover files from a borked machine. Google "Knoppix windows recovery" and you'll find a lot of useful information.

Also, if you ever need to recover files from a failing hard disk, look into dd_rescue, foremost, testdisk, and photorec. Testdisk and Photorec are cross platform so you can run them on a Windows machine. They're handy for fixing thumb drives or recovering photos from camera memory cards...