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Updating the firmware on a CodeMeter dongle fails:
'Connection to the update server failed (Error WB5000). Please check the selected server name and your network connection.'

To update the firmware, you need an internet connection with the update server of Wibu Systems. In many cases from inside a network, this connection needs to pass a proxy server.
An automatic way to setup this, can be found in:
http://vision-traffic.ptvgroup.com/faq-files/Overview_CodeMeter.pdf - section 6.4

The proxy server can also be set manually in the CodeMeter WebAdmin:
Systemtray -> CodeMeter Control center -> WebAdmin -> Configuration -> Proxy

You might copy the settings available from:
Control panel -> Internet Options -> Connections -> LAN settings

Workaround: Try to perform the update on another computer, or from outside the network.