Well, well, well — Windows is full of shit sometimes.
So there’s this dreadful Windows Genuine Validation crap thing Microsoft pushes down your throat. Now, that’s fine as long as the crap works but sometimes it fails to install via Windows Update; consequently you can’t install any other updates at that time. Bummer.
But there’s a (relatively) easy way around it: Try to install the control (yes, it’s a dreadful ActiveX control) directly through Microsoft Genuine: On the site click “Validate Windows” and the control should install. After that you can continue to install Windows updates.
I hate it when companies try so hard to show it the evil software pirates and end up annoying the paying userbase only. Thanks a lot, Microsoft.