(The solution to your problem is the reg hack listed further below, but I've included the broader description of this whole issue, anyway.)
KB3035583 showed up on AGAIN on a plethora of my client's systems a few days (10/10/15) ago after I had already removed it, unchecked it and hid it weeks earlier. The reason is that Microsoft keeps re-releasing these updates as if they are new.
Furthermore, it appears that the update option, "check for updates but let me choose whether to download and install them", has somehow been ignored with one of these re-released updates as I've found systems magically reset to "Install Updates Automatically", even on systems where the users don't even know how to access an administrator account.
On 10/10/2015 ago I found KB3035583 installed AGAIN on several systems I support and had to uninstall it AGAIN. I then had Update find it again, unchecked it and hid it, and lo and behold, the Windows 10 installer itself was STILL pending as the only available update!
Looking at "view other updates", I found the Windows 10 installer itself included, and then unchecked and hid it, and that actually BROKE Microsoft updates! After I did the above, update would immediately fail with an error (I think 0x80240019: "WU_E_EXCLUSIVE_INSTALL_CONFLICT An exclusive update cannot be installed with other updates at the same time").
This happened on ALL the systems at one business I support!
Fortunately I had encountered this problem before when I had had to roll back to Windows 8.1 from Windows 10 for a client who was tricked into installing Windows 10, so I knew what to do, namely apply the following .reg hack (it will solve the above problems on both Windows 10 and Windows 8):
Windows Registry Editor Version 5.00
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\WindowsUpdate\OSUpgrade]
"AllowOSUpgrade"=dword:00000000
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\WindowsUpdate\OSUpgrade\State]
"OSUpgradeState"=dword:00000001
[HKEY_LOCAL_MACHINE\SOFTWARE\Policies\Microsoft\Windows\WindowsUpdate]
"DisableOSUpgrade"=dword:00000001
[Note: copy the above in a file with .reg type, and execute the reg file by right-clicking and selecting "Merge".]
This reg hack can be applied at any time when removing, unchecking and hiding KB3035583 and the Windows 10 installer update itself, but the simplest way to use the reg hack is to first uninstall KB3035583, and then apply the above reg hack BEFORE rebooting, namely first use:
wusa /uninstall /kb:3035583 /norestart /quiet
wusa /uninstall /kb:2952664 /norestart /quiet
then apply the .reg reghack, and then reboot. I've found that if the reg hack is applied that way, the Windows 10 update installer itself will not come back, though you still have to recheck for updates after the boot, to find KB3035583 AGAIN and then uncheck and hide it.
Note KB2952664 comes back too, and if you want to make sure you've removed ALL the telemetry put the following in a .bat file:
@echo on
wusa /uninstall /kb:3035583 /norestart /quiet
wusa /uninstall /kb:3022345 /norestart /quiet
wusa /uninstall /kb:3068708 /norestart /quiet
wusa /uninstall /kb:3075249 /norestart /quiet
wusa /uninstall /kb:3080149 /norestart /quiet
wusa /uninstall /kb:2990214 /norestart /quiet
wusa /uninstall /kb:3012973 /norestart /quiet
wusa /uninstall /kb:2952664 /norestart /quiet
wusa /uninstall /kb:2976978 /norestart /quiet
pause
and run the above batch file, THEN do the .reg hack, and then reboot, and as I said before, you will then have to have update check for new updates, find KB3035583 and KB2952664 and uncheck and hide them.
At this point in the game, because of what Microsoft is doing to my clients with their outrageous, repeated attempts to force Windows 10 onto my client's computers and thereby completely wreck their businesses if they succeed, my only choice is to turn automatic updates off altogether with "Never check for updates" and manually check once or twice a year and see if there's anything worth allowing to install.
TLDR version: set
– Fizz – 2015-12-11T10:20:08.500HKEY_LOCAL_MACHINE\SOFTWARE\Policies\ Microsoft\Windows\WindowsUpdate\DisableOSUpgrade
to a DWORD of 1. There are various scripts and tools to do this for the neophyte. One called GWX control panel is linked from this article. In that one you need to click on "Disable Operating System Upgrades in Windows Update" to set that bit.I dont see this as a dupe of that question, this question already had installed those updates and it is about to upgrade, they are asking how to prevent upgrade once it has gotten to this point (downloaded the files and scheduled a restart to install W10), not how to prevent it from starting this whole process in the first place. The other question does not address this situation and none of the answers do either. – Moab – 2016-05-01T16:07:07.497