At the first time you are using PPP it automatically uses a free registration key in order to activate it - the activation must be on-line. According to your report it seems that the software did not have access to the internet (maybe a firewall blocks it from accessing) and did not automatically received the free key. To solve the problem please:

1) Make sure to be online when running the software for the first time.
2) Make sure to enable the software on your firewall.
3) Windows XP/Vista have it's own firewall too (turning your firewall off may automatically turn on windows XP/Vista firewall). Make sure to enable the software on the windows XP/Vista firewall too.