I downloaded the current version of Android Studio (latest as of 4th July 2013) I also downloaded the JDK version 7u25.
However, it displays error after startup: Ple
This answer may be very specific to a Windows 7 32 bit system: Even after setting the JAVA_HOME variables, I had problems. After installing the JAVA again from the website, http://www.oracle.com/technetwork/java/javase/downloads/jdk8-downloads-2133151.html
BUT THIS TIME I TRIED "Windows x64 54 MB jdk-8u51-windows-x64-demos.zip" which seems to be for 64 bit even though my system is 32 bit and the ANDROID STUDIO started working for me. My environment settings are following (under System variables and not under user variables):
JAVA_HOME-C:\Program Files (x86)\Java\jre1.8.0_51 JDK_HOME-C:\Program Files (x86)\Java\jdk1.8.0_51