anyone know how to proceed/vlaim compensation?
Send a letter to the Microsoft head office of the country you're in detailing what happened, what losses you suffered and the amount of compensation you're seeking. If you're in the UK then send the letter using Royal Mails' "Signed For" service. If you don't have any luck with that approach then try the Small Claims court.
However, because computers are such complicated systems you're going to have real difficulty in proving that it was the Microsoft update that wrecked your computer. Microsoft could easily argue that a third-party app interfered with the update process, or perhaps a faulty hard drive, or perhaps zillions of other things were to blame.
By all means pursue this but your chances of a good result are slim.