I think you misunderstood me, if one or some drivers were the culprit, why did the first in-place upgrade complete successfully? (After that, I didn't add any new driver)
If you say drivers are not the culprit, why do you think 0xC1900101 occurs? The Microsoft documentation says 0xC1900101 (regardless of the extended error code) is related to drivers or BIOS.
Windows 10 upgrade error codes - Windows Client | Microsoft Learn: https://learn.microsoft.com/en-us/troubleshoot/windows-client/setup-upgrade-and-drivers/windows-10-upgrade-error-codes
Windows 10 upgrade resolution procedures - Windows Client | Microsoft Learn: https://learn.microsoft.com/en-us/troubleshoot/windows-client/setup-upgrade-and-drivers/windows-10-upgrade-resolution-procedures
| 0xC1900101 - 0x30018 | Disconnect all peripheral devices that are connected to the system, except for the mouse, keyboard and display. <br>Contact your hardware vendor to obtain updated device drivers. <br>Ensure that "Download and install updates (recommended)" is accepted at the start of the upgrade process. | A device driver has stopped responding to setup.exe during the upgrade process. |
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Also, some tutorial videos related to the in-place upgrade mentioned that after running the media creation tool, the user will be asked to choose whether to update the driver, but I didn't find such option. I'm worried that I may ignore it. Does the 22h2 media tool have such option?
If you meant dynamic updates, they're enabled by default during the setup. Dynamic update installs the latest drivers if they have been published by the OEMs.
Latest version of applicable drivers that have been already published by manufacturers (OEMs and/or IHVs) into Windows Update and specifically targeted for Dynamic Update.