Heard people are getting factory reset over the new update?

If you've opted out why didn't you factory reset to remove further updates

You don't get new updates unless you didn't reset the console or you had already updated

This is an ongoing issue with the new update. Factory resets don't work, nor does hard resets. I have the same issue and what Microsoft just told me over chat is they are looking into the issue via bug troubleshooting.

There was a new update released yesterday, have you installed that to see if it helps? Also, might try complete factory reset like armymedic mentioned, then get the new update installed.

I did all this last night as well. Including factory reset.

No word on when the issue will be fixed but ive heard that a lot of people are doing refunds.

Hello. If you are using a router, it's possible it may be the cause. I've heard of some people with this same code experiencing issues, more so with Linksys Routers. If you are able, try resetting the router to factory settings and retry connecting to
Xbox Live, and see if you can proceed with the update.