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The root cause is currently identified as an issue with USB interfaces introduced by iOS 12.1. As the issue originating from the Apple firmware, also the fix for this behavior should be provided by Apple. Workarounds mentioned above can be used to process these devices for now.

Update Nov 9, 2018:

Mobile Device Eraser 3.8.3 version released to improve the behavior with this issue. This version will point the software to load iOS 12.01 until Apple provides an updated version of the firmware. See the release notes here: Blancco Mobile Device Eraser 3.8.3 is now released!