I had this same issue which began after last update. I received the same reformat usb advice from a former service manager. I did it and immediately was notified that same software update was available again. I went ahead and updated and have not had issue since. I did schedule a service to diagnose this issue. They were going to send mobile service at first. Shortly after my appointment was set they advised that my issue was escalated to a service center visit. I was given a $900 estimate to replace front camera unit. I advised the service center of the solution I had tried and they said then to just monitor the situation and let them know if problem arises again. I am out of warranty now and find it interesting that they wanted to slap a new camera in so quickl. Following thread to see others experience with this issue.
