I have the Telerik.TestStudio.2013.1.716_Purchase version installed on my Windows8.1 VM, and all seems to be working fine. The sample project, however, is failing on my system. 

Test #0 passes just fine, so I can tell that it's running the app without problem. 

The rest of the tests, all of which use the nested "Login with correct credentials" test, fail. That nested test never sees the successful login, see a log below. 

my steps:
* remove Test Studio and make sure the program files(x86)/... directory's empty
* install Telerik.TestStudio.2013.1.716_Purchase
* launch & license
* open sample project
* execute the tests

Stoil and I have watched this. It is happening with IE11, not with Chrome. On his computer it does not happen with IE9. 

Overall Result: Fail
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'7/19/2013 3:47:27 PM' - Using .Net Runtime version: '4.0.30319.32559' for test execution. Build version is '2013.1.716.0'.
'7/19/2013 3:47:27 PM' - Starting execution....
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'7/19/2013 3:47:30 PM' - Using 'InternetExplorer' version '11.0' as default browser. 
'7/19/2013 3:47:30 PM' - Using 'http://demos.teststudio.com/sampleapp' as base url.
'7/19/2013 3:47:31 PM' - 'Pass' : 1. Navigate to : '/'
'7/19/2013 3:47:31 PM' - 'Pass' : 2. Enter text 'Telerik' in 'LoginText'
'7/19/2013 3:47:31 PM' - 'Pass' : 3. Enter text 'abc123' in 'PasswordPassword'
'7/19/2013 3:47:31 PM' - 'Pass' : 4. Click 'LoginButtonButtonTag'
'7/19/2013 3:47:36 PM' - 'Fail' : 5. Wait for 'TextContent' 'Contains' 'Welcome,' on 'WelcomePTag'
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Failure Information: 
~~~~~~~~~~~~~~~
ExecuteCommand failed!
BrowserCommand (Type:'Information',Info:'DocumentMarkup',Action:'NotSet',Target:'null',Data:'',ClientId:'Client_29120c9e-068a-479c-b533-26379d281ffa',HasFrames:'False',FramesInfo:'',TargetFrameIndex:'-1',InError:'False',Response:'')
InnerException: System.InvalidOperationException: This client 'Client_29120c9e-068a-479c-b533-26379d281ffa' is not connected to remote to be able to process command.
   at ArtOfTest.WebAii.Core.Browser.ExecuteCommandInternal(BrowserCommand request)

InnerException:
ArtOfTest.WebAii.Exceptions.ExecuteCommandException: ExecuteCommand failed!
BrowserCommand (Type:'Information',Info:'DocumentMarkup',Action:'NotSet',Target:'null',Data:'',ClientId:'Client_29120c9e-068a-479c-b533-26379d281ffa',HasFrames:'False',FramesInfo:'',TargetFrameIndex:'-1',InError:'False',Response:'')
InnerException: System.InvalidOperationException: This client 'Client_29120c9e-068a-479c-b533-26379d281ffa' is not connected to remote to be able to process command.
   at ArtOfTest.WebAii.Core.Browser.ExecuteCommandInternal(BrowserCommand request)
 ---> System.InvalidOperationException: This client 'Client_29120c9e-068a-479c-b533-26379d281ffa' is not connected to remote to be able to process command.
   at ArtOfTest.WebAii.Core.Browser.ExecuteCommandInternal(BrowserCommand request)
   --- End of inner exception stack trace ---
   at ArtOfTest.WebAii.Core.Browser.ExecuteCommandInternal(BrowserCommand request)
   at ArtOfTest.WebAii.Core.Browser.ExecuteCommand(BrowserCommand request, Boolean performDomRefresh, Boolean waitUntilReady)
   at ArtOfTest.WebAii.Core.Browser.RefreshDomTree()
   at ArtOfTest.WebAii.Core.Browser.ArtOfTest.Common.IAutomationHost.EnsureStateIsCurrent()
   at ArtOfTest.WebAii.Design.Execution.ExecutionUtils.WaitForAllElements(IAutomationHost host, AutomationDescriptor descriptor, Int32 timeout)
   at ArtOfTest.WebAii.Design.Execution.ExecutionEngine.ExecuteStep(Int32 order)
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'7/19/2013 3:47:36 PM' - Detected a failure. Step is marked 'ContinueOnFailure=False' aborting test execution.
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'7/19/2013 3:47:36 PM' - Overall Result: Fail
'7/19/2013 3:47:36 PM' - Duration: [0 min: 5 sec: 917 msec]
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'7/19/2013 3:47:36 PM' - Test completed!