Please try the following procedure to remove the USB driver, then manually install.
Disconnect your EnV Touch. Unplug the USB cable.
Download LGUSBModem driver 4.9.7 here:
http://csmg.lgmobile.com:9002/swdata/USBSW/CDMA/EG/LGUSBModemDriver_WHQL_Eng_Ver_4.9.7_All_Win7_20100222.zipNote the download location.
Extract the .zip archive.
Go to Windows Add/Remove programs.
Uninstall the LGUSBModem driver.
Reboot the compter.
Launch Windows Explorer and go to where you extracted the .zip archive.
Next, find then double click on the file
LGUSBModemDriver_WHQL_Eng_Ver_4.9.7_All_Win7.exe
to install the driver for the enV Touch.
Reboot the computer.
Turn the enV Touch off. Shut down the phone.
Leave the battery in. Do not remove the power pack.
Now connect the VX11000 to a USB port. Windows should should go through the found new hardware, etc. routine. The phone screen should show the 'battery charging' message and the green square progression.
You should now be able to update and avoid the USB driver install loop.
Please try it and report back.