First, use the latest version of TurboActivate (current 3.4.7), get it here: https://wyday.com/limelm/api/#turboactivate
Next, on Windows 10, make sure Hyper-V is disabled: https://msdn.microsoft.com/en-us/virtualization/hyperv_on_windows/quick_start/walkthrough_install
If Hyper-V is enabled then the customer *is* running in a Virtual Machine. That's how Hyper-V works. The "base" operating system is still running inside a Virtual Machine.
>> "Also odd is that the error they get is "Extra Data was too long - Internal Error" which tended to initially make finding the problem quite difficult. "
That exception is telling you exactly what the problem is. Whatever string you're passing along to TurboActivate is longer than 255 UTF-8 characters. So... make it shorter.