AHA! Therein lies the problem. I had run Service Center out of longtime habit, forgetting that it's been superseded by the new installer, which handled the update without issue.
 
UPDATE: Mitch_I reports below that NI has fixed the file mix-up and it's now safe to use Service Center for this update.

Native access seems to be the way to go with the update. No issues at all, except it can't update replica. Kontakt was no problem and the file was around 150 meg.

My temporary setback trying to install this update gave me an opportunity to go back and capture a screenshot before the update, enabling a side-by-side comparison of visual elements before and after.
 
The folder and file view windows' font is now slightly (perhaps 1pt) larger. That little increase makes filenames MUCH easier to read. To their credit, they somehow managed this without reducing the number of names visible in the window. This little change definitely makes the update worthwhile!

OT:
 
Were any of you able to change the location where Native Access installs the vst's or did you just let it do it's thing and then add the new path to Sonar?
 
I can change the vst locations in Native Access but all it does is deletes the old vst's at that location and does not install the new ones anywhere on the drive.

I long ago gave up the fight and no longer try to coerce installers into doing my bidding. It's the path of least resistance and the path to the least number of hassles.
 
At one point my attempts at organizing plugins resulted in Kontakt DLLs in three separate locations on one computer, two locations for my Meldaproduction plugins and two locations for my iZotope stuff. I didn't know which versions were in what projects. That was my motivation for writing my little VST Inventory tool - just so I could figure out which DLLs were the "real" ones, which were old versions and - worse - new versions never implemented.
 
So aside from sample libraries, where location is important, I just don't sweat it anymore. I let installers have their way with me and enjoy a less-complicated existence as a result. 

Thank You bitflipper!
 
That is the path (pun intended) I will pursue.
 
BTW: It was your 'Inventory Tool' that helped me figure out, that my attempts at, changing the vst install location path was not working at ALL. I get more use from the 'Inventory Tool' than I do from a lot of the plugins I've purchased. I owe ya!
 
Kind regards,
Rick

 
If you go to your account, which is the little
icon on the top right that looks like a human
head, and the to "preferences" 
you can pick that paths for everything

cclarry
 
If you go to your account, which is the little
icon on the top right that looks like a human
head, and the to "preferences" 
you can pick that paths for everything

Hi Larry,
 
I tried that and I can change the paths, and did, but it just deletes the old vst and does not install the new vst.  (also, for some reason my icon that looks like a human head has what appears to be a hole in it... :) )

Odd...I've never had that happen...
mine has just always worked...

I was hoping to download the installer  - so I didn't use Native Access.
I tried Native Access and it deleted my current version just like rtucker! I didn't see it installed anywhere else either - and I have a path set in my preferences.
 
It's a piece of crap.
 
Luckily, I went in to my download folder and copied a copy of the installer - before Native Access was finished with it (because it deletes it). I just installed it myself...
 
what  a nuisance...