I received the attached error installing 1.6.  It looks like it happened during the Building StrataFrame Databases routine. 

Update: I tried again on the same machine after I activated with my wireless USB and it worked fine with no errors.

I don't think it's an "activated" state problem.  Looks like it's an issue with the SMO merge module we're using during the install to install the SMO DLLs needed for the data deployment.  The SMO DLLs don't seem to be committed to the GAC when the database deployment starts, so .NET throws a filenotfound exception because it cannot find the proper referenced assembly. 

When you ran it the second time, the SMO DLLs were installed.