Looks like an issue with XNA according to that error. I'm trying to point you to an alternative Installer for
Microsoft XNA Framework Redistributable 4.0 Refresh, but the download links are broken again. In their infinite wisdom Microsoft seems to have removed them. You can still get it from
safe and
secure websites elsewhere (what could possibly go wrong? you only get malware and viruses...).
So I suggest not downloading anything and instead work with what you have. In the same folder as TerrariaServer (in Steam right-click on Terraria then select Manage>Browse local files) there's a file named
xnafx40_redist.msi
. This is the regular installer for XNA Framework 4.0.
- Try right-click on the XNA installer, then select Uninstall.
- Afterwards RESTART your computer (this is important).
- After restarting, try right-click on the XNA installer, then select Install.
Afterwards, try running Terraria again. If that doesn't work then try running TerrariaServer again to see if there's other errors.