Do I need "Dynamic Update for Windows"?

Dynamic Updates are for the boot.wim - windows setup, not the install.wim.
 
Dynamic Updates have nothing to do with OOBE or Unattended mode.

If you make it a normal practice of creating a freshly updated ISO right before you do a clean install, Dynamic Update is a wasted effort. Not everyone has access to a recently updated image, and your image might be a month or maybe more behind in Monthly Updates.

Dynamic Updates allow WinPE to pause during installation, check with Windows Update if there's a newer CU than what's current in your image. Setup will download the newer update, and apply it over your install image before continuing. This guarantees you absolutely have the latest CU installed when the system is ready.

That's convenient if you're too lazy to make a new image every month, or right before the next time you will do a clean install.

The problem is you're giving up control over the image. Windows Update will apply whatever it thinks is the latest CU, and you can't prevent it from changing your installed image.

I don't see the point of using DU, unless you're building an ISO for someone else and you don't want to replace their ISO whenever they install a system maybe months or a year later. Unless you've disable WU, Windows runs WU right after your install is finished. DU runs WU right before your install even if normal WU is disabled in the settings.

NTLite provides DU on the monthly Updates list, because it's considered good practice for IT-managed environments.
 
I just want to clarify that when garlin talks about Dynamic Updates, he means Setup Dynamic Updates -- not Dynamic Updates for Safe OS.

Correct me if I'm wrong.
 
Correct. Setup Dynamic Updates will patch boot.wim, install.wim and the ISO folders by installing the following KB's:
  • Safe OS Dynamic Update
  • Setup Dynamic Update
  • Latest cumulative update
  • Servicing stack Dynamic Update
SafeOS Dynamic Updates is fancy name for Windows Recovery Environment (WinRE) updates.

Most normal Windows users treat WinRE as an alternate boot environment, which can be used to repair or recover Windows (if you didn't have a proper install ISO). Only IT pro's really care about the SafeOS Dynamic Updates since they build a whole infrastructure off their WinRE setups.

For them, it makes sense to worry about it. For you, don't need to lose sleep over it. Many Windows features really exist for the enterprise customer, and Dynamic Updates are one of them.
 
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