According to Microsoft, “We have fully investigated all reports of data loss, identified and fixed all known issues in the update, and conducted internal validation.” They add, “Today we take the next step towards the re-release of the Windows 10 October 2018 Update by providing the updated version to our Windows Insider community. We will carefully study the results, feedback, and diagnostic data from our Insiders before taking additional steps towards re-releasing more broadly.”
However given that it is released to Insiders (who are more or less beta testers), it means that non-Insiders won’t see the update just yet. However it is reassuring to know that Microsoft has managed to address the issue, so bar any issues discovered by Insiders in the latest release, we expect that the update should find its way to the masses in the near future.
In the meantime Microsoft has encouraged users who have had their files deleted by the update to contact them. The company has stated that they have the necessary tools to help users recover their deleted files, which we suppose is a bit of an inconvenience but at least it is reversible.