There are a couple of extra tweaks that are needed after installing the SharePoint 2010 Office Web Applications on a Domain Controller. Here is a run-down.
Create a PowerShell script that contains the following text, or you can enter it line by line in the SharePoint 2010 Management Shell:
$e = Get-SPServiceApplication | where {$_.TypeName.Equals("Word Viewing Service Application")}
$e.WordServerIsSandboxed = $false
$e.WordServerIsSandboxed
#(Please use the below script for PowerPointServiceApplication – You need to enter "Y" for the answer of each cmd)
Get-SPPowerPointServiceApplication | Set-SPPowerPointServiceApplication -EnableSandboxedViewing $false
Get-SPPowerPointServiceApplication | Set-SPPowerPointServiceApplication -EnableSandboxedEditing $false
In the server’s c:windowssystem32inetsrvconfigapplicationHost.config. (Add the line below in the end of the dynamicTypes.)
NOTE: If you try to copy and paste the above line into Notepad, it frequently gets confused about ASCII / non-ASCII characters (particularly with the quotation marks), so – I'd recommend just typing it or at least manually re-typing the quotes before saving. Otherwise the sky comes crashing down…
When these steps are done, perform an IISRESET.