During the installation, the installer checks to see which versions of Microsoft Visual Studio are installed and provides options to install the Liquid Studio tools for Visual Studio as appropriate.

However, we have had reports where the options are provided even though a compatible version of Visual Studio is not installed. This results in the Microsoft VSIX Installer getting invoked and failing:
To work around this issue, simply deselect the options to install Microsoft Visual Studio extensions on the installer's component tree page.