When you run Windows Update from your PC or Laptop, you may be faced up with the error code 0x8DDD0018.
This could happen if the Windows Update Service has a problem and fails to start or if there is a problem with Windows BITS service.
To resolve this problem try the following:
1. Click Start – Run and “services.msc”. This should bring up the Windows Service management console.
2. Look for the “Automatic Updates” (Windows Update in Vista), right-click and select properties. Check if the service is not set to “Disabled”. If set to disabled, change it to “Automatic”. Similaryly, check the BITS service and perform the above.
3. Click Apply and OK and try to start the service. This should help.
If it still fails then try to re-register the service as follows:
Click Start – Run and type “regsvr32.exe wuaueng.dll”
This should re-register the service and fix the problem.
If the problem still try the suggestions from Microsoft here in KB910337