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Yes, it is unattended. But you are billed for the install time, not the time a tech is actually sitting in your car.
There are several threads here noting that the update (ie: installation time) took hours.
I'm not saying the dealerships aren't overcharging. I was merely stating how the system works. If you ask, they will likely even tell you the same thing. The dealers use a guide (I forget the name) which lists an average time it takes to complete a repair and that is how you are billed. Doesn't matter if the job is completed quicker or slower.
In any case, I agree with you. Just stating how the system works.
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