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http://answers.microsoft.com/en-us/windows/forum/windows_7-windows_update/kb2668562-silverlight-update-will-not-install-feb/46bcf0b1-c9b8-41f5-b802-b6a8e822d930?page=1&tm=1329252863223#footer

If you are installing KB2668562 for Silverlight and it's failing, you are not alone.

Hang loose for now.  It appears that it's actually getting installed but just bogusly (if that's a word) putting up an error message.

Redmond has been alerted, they are investigating.  Hat tip to Seve Ward, Consumer Security MVP for the reports.

UPDATE:

http://marc.info/?l=patchmanagement&m=132925862114053&w=2

Subject:     RE: Slow going on that Silverlight KB2668562 patch
Date:     Tue, 14 Feb 2012 22:25:56 +0000
From:     Doug Neal 
Reply-To:     Patch Management Mailing List
To:     Patch Management Mailing List



Thanks to responses on this listserver, we've looked into the Silverlight update, have identified a metadata (logic) error and will be releasing a revision to correct this very soon.

Consider holding off on this update until a revision is published and visible in your WSUS/SCCM consoles - or simply allow auto-approval to permit the revision to replace the original version.  We have similarly 'down throttled' unmanaged (consumer) machines until the revision is released (throttled at 0% = no consumer machines will get this installed automatically - but users who open WUApp and choose it, will still be able to run it - even though it will fail).

doug neal
Microsoft Update (MU)