This has been happening to me for a couple of months now, it’s very problematic for me. When I try to install plugins they fail and throw errors as well. Uninstalled Unreal, the Epic Launcher, and even reset windows. Nothing has worked. Also, the new UE 5.8 is having an issue where projects I create in it don’t recognize what engine version they are, and on the thumbnail it says OTHER instead of 5.8… at this point I’m just tired. I’ve become disillusioned with Epic and find the whole thing exhausting, my experience with unreal and the epic launcher has gone downhill since “Fab”.
I also have this issue, it pretends to update but does f all. On next open launcher it again wants to pretend to update stuff. Additionally it keeps asking me to associate project files which regardless of accepting is asked the next time also.
But these are all super minor issue compared to the dumpster fire that 5.8 has been for me in the amount of deal breaking bugs.
On my end, it does actually seem to solve the issue for me. I did have to update those indicated packages though. Fortunately it won’t update any files it doesn’t have to, and check if the update is already finished.
Update:
Nevermind, the issue returned once I restarted the launcher. Exactly the same packages I updated.
Though it’s good to see (what looks like) Epic trying to tackle this issue, it nevertheless remains in effect for me. Still not able to see when new updates are available and a random set of items are always flagged for update.
Not really much else to add but I’d be interested to know if anyone has had any luck with the range of 3rd party launchers out there. From my testing none of them have all the useful features of the Epic launcher (when it works). But I’m open to ideas.
I was using the Asset Manager Studio for a bit. It’s regularly updated. The creator is responsive to inquiries. I may go back to it. This Launcher nonsense is ridiculous.
Yep, still broken AF.
I’m REALLY curious as to how this is a difficult fix. Like no snark, just somebody explain to me how it is hard to keep a flag per asset straight. There’s gotta be a good, or at least understandable reason that this is forever-broken.
I’d had enough of the orange dots in Battlefield 6, and now I have them in the Epic Launcher 
This is part of the problem.