Microsoft has blogged some Q&A on the issues related to the first software update. They have confirmed the issue with Samsung devices and also that the update was successful on the whole with over 90% has done it without any issues.
- 90 percent of people whoâ€™ve received an update notification have installed the new software patch successfully. (So when your turn to download it arrives, chances are good this will be a non-event.)
- Of the 10 percent who did experience a problem, nearly half failed for two basic reasonsâ€”a bad Internet connection or insufficient computer storage space. Luckily, both are easy to fix.
Q: Iâ€™ve read there are problems updating Samsung phones. Is this true?
A: Weâ€™ve identified a technical issue with the Windows Phone update process that impacts a small number of Samsung phones. Weâ€™re working to correct the problem as quickly as possible. But as a precaution, weâ€™ve briefly suspended updates to Samsung phones. We are continuing to update other Windows Phone models as scheduled.
There are lots of questions answered, head to the source link to read it. Also Microsoft has made a traditional support kb article for Installing and troubleshooting problems during the software update for Windows Phone 7.
Source: Windows Team Blog