In some ways, this is worse than Superfish. Superfish was at least not deliberate; it seems pretty clear that Lenovo really didn’t understand the full implications of what they were doing by installing it on their laptops. There’s no way that Samsung doesn’t understand that by disabling Windows Update they are trading off their customers’ security against the cost of a hardware recall.
(It wouldn’t surprise me to discover that Microsoft actually has ways of blacklisting driver updates under Windows Update & will liaise with OEMs to help them sort out problems like this - it wouldn’t be that hard to maintain a list of 'if the hardware looks like this then install that driver instead of the standard one'. In which case Samsung is simply trading off a bit of management time against their customers’ security which is even more unacceptable.)
still incredibly dodgy though.