@Mendelson: Make sure you don't have any stray .bin files in the (USB) root of your device, clean those up if need be, restart your device completely, and try again.
And, of course, make sure you're using the right update package for your actual device (Amazon's naming scheme can be deceiving, right now: all_new_paperwhite is the PW3, paperwhite_v2 is the PW2).
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