Resolve: Error code 800705B4 ‘When attempting to update Windows Phone 7’

This article may be of help, if When you try to update Windows Phone 7 you receive the following error:
UPDATE ERROR
There was an error while trying to update your device with the latest software. Please try again.
The timer ran out on what we were trying to do.
To see if there’s more information about this error, click Web Help.

This error occurs when Your phone can’t finish the update because it timed out.

Visit Microsoft KB2518812 for the outlined set of steps which may help you resolve the problem.

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