I have been using Virtual PC for quite a while now and a very useful feature of this product is Differencing Drives.
Well I was trying to create a small network for a lab that required me to have a Domain Controller and all of the machines that I was using where created out of the same base Differencing Drive. After succesfully joining the machines to the domain I could not log on into any of these machines with a domain account and was given the following error.
The Name or Security ID (SID) of the Domain specified is inconsistent with the trust information for that domain.
Well after struggling for a couple of hours trying to solve this problem I found that the problem was that all of the machines had the same SID and hence I was getting this error message.
I then downloaded New SID from SysInternals and then the problems went away.
This problem also may occur when using imaging software such as Ghost or similar.
Hope this helps you save some time if you ever encounter this problem.