Q: How to fix error 17

See this support document for restore error explanations. http://support.apple.com/kb/TS3694

And to understand the reason that you had that error in the hosts file is because of attempts to jailbreak a phone.

i having the same problem, when i try to update my i5s from ios 7.0.4 to ios 7.0.6 and i never try to attempts to jailbreak the phone, furthermore i'm not using window but macpro, so how could this happen and what should i do?

Yes!  - This link was a clear way to determine what my error code meant and how to easily fix it with minimal knowledge. http://support.apple.com/kb/TS3694

My 5S would not restore, and was stuck in recovery mode with and error message 17...Through this link I found out how to modify a "host file" from "the Terminal" by adding a "# " (in front of the apple.com file).

Worked like magic! Thank You!

I have the same problem.

i tried to remove the gz.apple.com too....

but still it gives me the same error