Clients accessing Windows Update via a local Windows Server Update Service (WSUS) server through an SWG proxy cause the SWG proxy to fail and stop responding.
Windows Server Update Service (WSUS) is not compatible with the SWG proxy.
Clients should bypass the proxy when accessing the WSUS server. This can be done by adding an exception under the Proxy Server settings of the clients.
To add an exception:
1. Under Control Panel->Internet Options->Connections->LAN settings->Advanced add the IP(s) or FQDN(s) of your WSUS server.