The driver is unsigned (error 577)
I tried to install this driver through both Android studio and the manual installation there on my old Windows 7 laptop (with all the latest updates installed). And I got StartService error number 577 saying that the driver I am trying to install isn't signed and thus the programs requiring it won't work.
As I was advised on the official Google support of this driver, I have installed the version 1.7 of the driver and it works fine on Windows 7. So it's the issue of the newest driver version (1.8).
https://github.com/google/android-emulator-hypervisor-driver-for-amd-processors#for-windows-7-users
https://docs.microsoft.com/en-us/windows-hardware/drivers/install/deprecation-of-software-publisher-certificates-and-commercial-release-certificates
Windows is deprecating SHA1 signed drivers.