
Recently, Microsoft has released the Cumulative Update KB3194496 for Windows 10 version 1607, like previous update KB3189866, this too has installation issues as it failed to install for some. Microsoft has acknowledged the issue and said only a subset of insiders were impacted. The software giant has also said don’t try to install the update, it will keep failing and assured, they’re working on a fix to solve the issue.
Meanwhile a workaround has been posted on the insider forum that has worked for some of the affected users, as they have successfully installed KB3194496 update after following.
Fix KB3194496 update fails to install on Windows 10
Deleting the XblGameSave scheduled tasks in the system 32 folder and a key related to it in the registry, could well do the job for you.
1. You can delete the XblGameSavefolder by visiting this path:
C:\Windows\System32\Tasks\Microsoft\XblGameSave
2. Next, navigate to HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\WindowsNT\CurrentVersion\Schedule\TaskCache\Tree\Microsoft,
select the below key XblGameSave and delete it.

3. Now visit Settings > Update & Security, and check for updates, this time, KB3194496 will be installed without issues.
As per the comments posted in the thread by users who’ve tried the workaround, the deleted XblGameSave scheduled tasks will be re-created after installing the update.
If you don’t want to try this, wait for Microsoft to roll out the fix to your computer.
Note: Do create a system restore point and backup the registry key before using the instructions. Follow the above steps at your own risk, we’re not responsible for the damage your computer will incur.
UPDATE: Microsoft releases a Script to Fix KB3194496 Installation Issues
This XblGameSave trick didn’t work for me, it still does a rollback at 99% after reboot.
Wait for the MS fix then.
This has worked perfectly, thanks for this information!
Thanks for confirming that. Glad that I could help. You’re welcome Victor.
Thank you very much, this workaround has worked in my 2 problematic PCs.
It worked a treat for me! Thanks!
Did not work for me…
Have you ran the MS fix? https://techdows.com/2016/10/microsoft-kb3194496-fix.html