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Update:
I uninstalled System Mechanic, as it seems to interfere with Kaspersky anti-virus update (Kaspersky is always asking me to reboot the computer). With SM removed, Kaspersky works fine and...

Have you tried doing a Recovery restore point prior to Spybot install? If that doesn't work, wipe your drive and reinstall Windows 10. It's faster doing that than waiting for a response.

Do you have an ETA on when we can expect a fix to our reported issue? I really want to be "immunized" as soon as possible! Thanks!

I also have the same problem that Dude_Virus and agresywny reported...both Telemetry Hosts (under protection tab) and Telemetry Hosts - extensive list (under optional tab) do not keep the protection...