The computer is a DIY with a Gigabyte X79S-UP5 motherboard.
I also tried disabling the C600 Chipset SAS RAID driver, since I'm not using a RAID, but the update/install still didn't work.
I'm also reaching out to Gigabyte to see if there are any issues with this MB and the Windows 10 Update.
artdude12, thank you for that information.
Since this is related to the update itself I would also recommend reaching Microsoft, and please let me know what is Gigabyte stand regarding this matter.
Did you try to uninstall RAID driver and then run the update?