I'm having the same problem with sdk 1.7.4.
Will app engine team fix this *sdk error* soon?

On Thursday, December 13, 2012 9:47:14 AM UTC+8, Sekhar wrote:
>
> Thanks, I actually did try most (though not all) of those steps already. 
> Anyway, I went the lazy route and just uninstalled the JRE (so I just have 
> JDK on my machine), and the problem went away.
>
> On Wednesday, December 12, 2012 3:36:20 PM UTC-8, Takashi Matsuo (Google) 
> wrote:
>>
>> Hi Sekhar,
>>
>> I hope these posts help.
>> https://groups.google.com/d/msg/google-appengine/U9b9OOyKFAw/dPKVqLVJeVYJ
>> https://groups.google.com/d/msg/google-appengine/U9b9OOyKFAw/Pm3fvRdBtfQJ
>>
>> -- Takashi
>>
>>
>> On Wed, Dec 12, 2012 at 3:28 PM, Sekhar <[email protected]> wrote:
>>
>>> I just updated GAE to 1.7.4, and I'm getting the JDK missing error (see 
>>> below) at deploy time. The JSPs compile fine in Eclipse and I can test OK 
>>> on the dev server...the problem comes only at deploy time. Was working fine 
>>> in 1.7.3. Anyone else? I reverted to 1.7.3 to get around this.
>>>
>>> gae java.lang.RuntimeException: Cannot get the System Java Compiler. 
>>> Please use a JDK, not a JRE.
>>>
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>>
>>
>>
>> -- 
>> Takashi Matsuo | Developers Advocate | [email protected]
>>
>>  

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