PCR,
Glad everything worked.
I also tried from an external USB Western Digital HDD using the Windows.iso and it worked fine.
I think as you said that the check they put in the installer is only limited to some specific USB sticks and SD cards and does not span to any USB drive connected.
Also when I tried an update using the Windows.iso on an internal drive it failed if I left a USB stick plugged in even if I was not using it at all.
That seems to confirm that the block is just for some specific devices.
B.T.W.
I just tried opening the Windows.iso from the USB sticks that failed earlier and they fail the same way.
This shows that 1903 windows installer is blocking specific USB devices, but not all.
So until they fix the bug, USB SanDisk Ultra is just good for a clean install or for recovery when you need to restore a WindowosBackup image.
I understand why you don't want to leave a windows.iso on the C: drive because it would increase the backup time of your system image.