Same thing here. I did successfully install it from a flash drive though. Realistically, we should always install BIOS updates from a USB flash drive. There is less chance of something going wrong.
Just saw this BIOS update this am.  When attempting to install, it throws this error: "Error: Driver Version Fail!". The first time I ran it, it threw a Windows error over and over (not the one mentioned above).  Windows said that the "Memory Integrity" security feature needed to be turned off.  So I did.  Nada. Anyone else see this?
XPS 8950, new BIOS 1.8.0 fails to install