A moderator should post the correct Answer at the top of this thread:
Disable (using the Device Manager or Autoruns) or Unplug all USB devices
before installing KB2862330 and the update should install successfully (note: PC may re-boot by itself two times before KB2862330 is finished installing).
After KB2862330 is installed, re-enable or Plug back in the USB devices.
That's it. Problem solved.
Me personally, I preferred to disable and re-enable the USB devices using Autoruns instead of going nuts on my hands and knees pulling out my PC and unplugging and re-plugging the cables of all my USB devices from the back of my PC (I have 6 plus the VMware
USB Driver). Autoruns worked for me. Others have used the device manager to get the job done successfully.