Latest firmware update for Xbox controllers broken?

To be very, very clear, the problem is that the newest firmware updates to Xbox elite 2 controller has broken the functionality of the paddles. As of the latest firmware, the paddles are completely disabled when in default profile. The paddles used to work in default mode, and now they don't. Steam can corroborate this: last year Steam added functionality to customize the outputs of the elite controllers paddles, which means that the paddles used to output a unique signal instead on only emulating other controller buttons.

A quick internet search reveals numerous accounts from users who had used steam to customize the paddle outputs, proving that the paddles used to work. You can also see a growing number of recent complaints from Elite controller users who are realizing that their paddle inputs are now broken. This is not an isolated occurrence, the elite controller was broken by the latest firmware updates, and people are realizing it.

The changes made to the Xbox elite 2 Controller paddles in the latest firmware updates NEED TO BE REVERTED.

Hello, do you have the latest firmware update for the controller? Plug your controller into the console using the micro usb cord and go to settings, system, and select update controller. If you do have the latest firmware update and your still having problems
you can log into xbox.com and click on my account under your gamertag and selecting manage device. From the manage devices page you'l be able to request a repair and you'll just have to send the broken controller back to Microsoft and the will repair or replace
it.

What kind of Xbox One controller do you have?

From going to All Settings-->Kinect & Devices-->Devices & Accessories-->Xbox One Wireless Controller, the latest firmware shown on my controller is "2.3.2385.0". Checking for updates yields no results, and says that my controller is on the latest firmware.

This controller of mine is a standard black controller (with the 3.5mm port) that I purchased as a separate accessory. I think only the Elite controller has a different firmware due to the extra functionality.

If there's no update available, then you're already on the latest firmware! Microsoft doesn't really push out controller updates very often.

Controllers are all updated to the latest firmware

Can you try the controllers on a friend's XBOX to try to determine if it is bad controllers. Are all the controllers updated to the latest firmware?