Should. But nope.
Reinstall brings system back up, update brings system back down - same problem occurs after fresh install/update
[Edit] Apologize for the grave digging, but there not many others with this exact same issue I guess… Surprising as this appears to be broken code in the repository (update borks system, came from repo)
[Update] Reinstalled, Running, got the error again, but this time somehow it booted. I suggest the HiveOS devs add a threshold limit (it has no limit for every service starting up) so when you boot if a service fails it either continues boot or fails rather than sitting doing nothing but counting to infinity.