I have the same issue today for a fresh 1.7.7.4 install on a Godaddy server. The utilization rate is 1Mb allowable. Thus I had to bump up to the $29 plan/month and it worked smoothly.
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I have the same issue today for a fresh 1.7.7.4 install on a Godaddy server (Utilization Rate on Sever is 40%).
I've made the modules folder permission 755 recursively.
Any ideas to move beyond this issue, I've attempted three times.