Comfirm , have this problem on my xps 9560 after windows 2004 update . I update my bios to latest version , nothing changed yet . 

I'm facing the same problem here.

BIOS, FIRMWARE and DRIVERS: Up to date.

Windows: 10 2004.

USB-C: Not working.

Check to see if the external drive will work in safe mode. Also, try changing the drive letter assignment. I was able to get the drive to work in safe mode, but got the same errors in regular mode. No solution yet.

I have the same problem and error on System Log.
My PC is (also) a Dell XPS 15 9560.
In my case, the "device" is a 3Port Hub + Gbit LAN from Sharkoon.
From several tests I've done, the device / driver wakes up Ok if I have it connected to the USB-C port during restart, and I don't have to shutdown and poweroff, restart is enough. At least It worked for several times, and that's the reason I didn't noticedthe problem during some time after upgrading to 2004 windows.
Now, i cannot rollback windows to test.
When the HUB is detected, then I can connect and disconnect any USB device on the Hub, and everything goes well and no errors noticed.
If I disconnect the HUB, with or without any device on it (including LAN cable), I cannot make it work again without a windows reboot. The hub gets power (so as the the devices I plug on it), but nothing gets recognized.
The Device Manager blinks a few additional entries on the "Universal Serial Bus Controllers", but then they go out, and nothing is recognized.
The said error on Event Log, curiously, appears a few seconds after I disconnect the hub device, not when connecting.

Like said above, on all my tests, everything works after a reboot, IF I keep the device (hub) plugged in during start.
I can live with this, just because the only need I have is to have LAN and a few more USB3 ports.
I just have to remember to keep the HUB connected while booting.

Now I have the DELL drivers/bios up to date (currently: BIOS 1.19.2). And the problem was already there before the latest BIOS update.

One more detail...
When the problem happens (for example after disconnecting/reconnecting the hub), a hybrid sleep/start on the PC is not enough. And, in that case, the event log shows 3 times the error in one shot.
I hope DELL/Microsoft /Intel happens to stumble on this and correct it.

Thanks

Note: Also posted on another forum:
https://answers.microsoft.com/en-us/windows/forum/all/windows-10-2004-hardware-error-after-update/11f44855-ec43-47ae-92c0-7678a47e379b

Can confirm the same behavior. Occasionally I can hotswap a device on the USB-C port but usually I need to reboot with the device connected for it to register.

Connect something to USBA, go to Device Manager. Connect USBC device, check what changed in Device manager in the section Universal Serial Bus. Click on it, update driver, from disk, from list, select from the list the X thing. Install. 

The USBA has somehow priority before USBC. This Trick solved the problem for me

Hello everybody.
i have the exact same problem.
Has anyone been able to solve it?

it is not possible that a notebook of this level has been abandoned from official support.

It sounds like I had the same issue. I would plug in a USB-C device and it would connect and then disconnect from it after a couple of seconds. Often I would have to reboot to get it to connect, only disconnect, again. I found a solution that worked for me here. The community accepted solution was to uninstall the Realtek All in one host USB host driver. That didn't work for me. On the second page another person mentioned it was Intel Dynamic Platform and Thermal Framework Generic Participant and Framework Manager drivers. I uninstalled those from Programs and features and it worked for me!

I might give that a try. What I've been doing as a work around all this time was closing the lid, plugging in the external drive, then opening the lid.