The launcher does not update the status of the selected version after installing it (even after restarting the launcher).
I noticed this issue and thought that it could be an issue with my mods and whatnot, so I completely deleted my .minecraft folder and reinstalled (using the new dev launcher). Everything installed fantastically, but it still does not recognize that I have the selected version installed.
Steps to reproduction:
1. Install vanilla Minecraft via any method
2. Use the Dev Launcher to open Minecraft
3. Install any version using the Dev Launcher
4. Close all open Launcher or Minecraft windows and reopen the Dev Launcher
5. The Dev Launcher will say that the just-installed version "Will be installed"
5b. (It actually won't be installed again- it "Used own copy as it matched etag")
Proof below: followed steps above, navigated to correct folder to witness that I legitimately had the correct version installed but that it still shows that it "Will be installed."
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Confirmed

This should already be fixed, let me know if not and copy/paste the console output.

I know how to fix this problem,
First go into %appdata%
Then go into .minecraft folder
Then versions.
C:\Users\ \AppData\Roaming\.minecraft\versions
Click on a version and look for "version name".json (I.e 13w16b.json)
if not there copy and paste
to a .json file within the version u want
Change\/ id \/ to whateva u want
{
"id": "whateva u want",
"time": "Mar 20, 2013 12:00:00 PM",
"releaseTime": "Mar 20, 2013 12:00:00 PM",
"type": "release",
"processArguments": "legacy",
"libraries": [
{
"name": "org.lwjgl.lwjgl:lwjgl:2.9.0"
},
{
"name": "org.lwjgl.lwjgl:lwjgl_util:2.9.0"
},
{
"name": "net.java.jinput:jinput:2.0.5"
},
{
"name": "net.java.jutils:jutils:1.0.0"
},
{
"name": "org.lwjgl.lwjgl:lwjgl-platform:2.9.0",
"natives": {
"linux": "natives-linux",
"windows": "natives-windows",
"osx": "natives-osx"
},
"extract": {
"exclude": [
"META-INF/"
]
}
},
{
"name": "net.java.jinput:jinput-platform:2.0.5",
"natives": {
"linux": "natives-linux",
"windows": "natives-windows",
"osx": "natives-osx"
},
"extract": {
"exclude": [
"META-INF/"
]
}
}
],
"mainClass": "net.minecraft.client.Minecraft"
}

Not fixed, see screenshots.
(Did close the launcher thus no console output)

Stopped Launcher
Deleted
versions/13w18c
Restarted Launcher
Redownloaded 13w18c
Launcher still shows "Will be installed" after downloading
Launcher 0.7 (Dev) (through bootstrap 2) started on windows... System.getProperty('os.name') == 'Windows 7' System.getProperty('os.version') == '6.1' System.getProperty('os.arch') == 'amd64' System.getProperty('java.version') == '1.7.0_21' System.getProperty('java.vendor') == 'Oracle Corporation' Trying to log in... Logged in successfully Delta time to compare resources: 1570 ms Download job 'Resources' skipped as there are no files to download Job 'Resources' finished successfully Getting syncinfo for selected version Queueing library & version downloads Download job 'Version & Libraries' started (8 threads, 18 files) Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\net\java\jutils\jutils\1.0.0\jutils-1.0.0.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\org\lwjgl\lwjgl\lwjgl_util\2.9.0\lwjgl_util-2.9.0.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\argo\argo\2.25_fixed\argo-2.25_fixed.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\org\lwjgl\lwjgl\lwjgl-platform\2.9.0\lwjgl-platform-2.9.0-natives-windows.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\net\java\jinput\jinput\2.0.5\jinput-2.0.5.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\librarylwjglopenal\20100824\librarylwjglopenal-20100824.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\libraryjavasound\20101123\libraryjavasound-20101123.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\commons-io\commons-io\2.4\commons-io-2.4.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\codecjorbis\20101023\codecjorbis-20101023.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\net\java\jinput\jinput-platform\2.0.5\jinput-platform-2.0.5-natives-windows.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\org\lwjgl\lwjgl\lwjgl\2.9.0\lwjgl-2.9.0.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\soundsystem\20120107\soundsystem-20120107.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\com\google\guava\guava\14.0\guava-14.0.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\net\sf\jopt-simple\jopt-simple\4.4\jopt-simple-4.4.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\org\bouncycastle\bcprov-jdk15on\1.47\bcprov-jdk15on-1.47.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\codecwav\20101023\codecwav-20101023.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\libraries\org\apache\commons\commons-lang3\3.1\commons-lang3-3.1.jar for job 'Version & Libraries': Used own copy as it matched etag Finished downloading C:\Users\user\AppData\Roaming\.minecraft\versions\13w18c\13w18c.jar for job 'Version & Libraries': Downloaded successfully and etag matched Job 'Version & Libraries' finished successfully Launching game Unpacking natives to C:\Users\user\AppData\Roaming\.minecraft\versions\13w18c\13w18c-natives-844023265725838 Launching! Running: "C:\Program Files\Java\jre7\bin\java" -Xmx1G -Djava.library.path=C:\Users\user\AppData\Roaming\.minecraft\versions\13w18c\13w18c-natives-844023265725838 -cp C:\Users\user\AppData\Roaming\.minecraft\libraries\net\sf\jopt-simple\jopt-simple\4.4\jopt-simple-4.4.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\codecjorbis\20101023\codecjorbis-20101023.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\codecwav\20101023\codecwav-20101023.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\libraryjavasound\20101123\libraryjavasound-20101123.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\librarylwjglopenal\20100824\librarylwjglopenal-20100824.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\com\paulscode\soundsystem\20120107\soundsystem-20120107.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\org\lwjgl\lwjgl\lwjgl\2.9.0\lwjgl-2.9.0.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\org\lwjgl\lwjgl\lwjgl_util\2.9.0\lwjgl_util-2.9.0.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\argo\argo\2.25_fixed\argo-2.25_fixed.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\org\bouncycastle\bcprov-jdk15on\1.47\bcprov-jdk15on-1.47.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\com\google\guava\guava\14.0\guava-14.0.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\org\apache\commons\commons-lang3\3.1\commons-lang3-3.1.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\commons-io\commons-io\2.4\commons-io-2.4.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\net\java\jinput\jinput\2.0.5\jinput-2.0.5.jar;C:\Users\user\AppData\Roaming\.minecraft\libraries\net\java\jutils\jutils\1.0.0\jutils-1.0.0.jar;C:\Users\user\AppData\Roaming\.minecraft\versions\13w18c\13w18c.jar net.minecraft.client.main.Main --username Kumasasa --session 76b93d4277b1ec4e6ed20b590333f0fc355a4fa4 --workDir C:\Users\user\AppData\Roaming\.minecraft ---- YOU CAN CLOSE THIS LAUNCHER IF THE GAME STARTED OK ---- ---- YOU CAN CLOSE THIS LAUNCHER IF THE GAME STARTED OK ---- ---- YOU CAN CLOSE THIS LAUNCHER IF THE GAME STARTED OK ---- ---- (We'll do this automatically later ;D) ---- Client> 249 recipes Client> 27 achievements Client> 2013-05-03 21:44:58 [CLIENT] [INFO] Setting user: Kumasasa Client> 2013-05-03 21:44:58 [CLIENT] [INFO] (Session ID is 76b93d4277b1ec4e6ed20b590333f0fc355a4fa4) Client> 2013-05-03 21:44:58 [CLIENT] [INFO] LWJGL Version: 2.9.0 Client> 16842914 is not a valid stat, creating place-holder Client> 16908450 is not a valid stat, creating place-holder Client> 16908451 is not a valid stat, creating place-holder Client> Client> Starting up SoundSystem... Client> Initializing LWJGL OpenAL Client> (The LWJGL binding of OpenAL. For more information, see http://www.lwjgl.org) Client> OpenAL initialized. Client> Client> 2013-05-03 21:45:01 [CLIENT] [INFO] Found animation info for: textures/blocks/lava_flow.txt Client> 2013-05-03 21:45:01 [CLIENT] [INFO] Found animation info for: textures/blocks/water_flow.txt Client> 2013-05-03 21:45:01 [CLIENT] [INFO] Found animation info for: textures/blocks/fire_0.txt Client> 2013-05-03 21:45:01 [CLIENT] [INFO] Found animation info for: textures/blocks/fire_1.txt Client> 2013-05-03 21:45:01 [CLIENT] [INFO] Found animation info for: textures/blocks/lava.txt Client> 2013-05-03 21:45:01 [CLIENT] [INFO] Found animation info for: textures/blocks/portal.txt Client> 2013-05-03 21:45:01 [CLIENT] [INFO] Found animation info for: textures/blocks/water.txt Client> 2013-05-03 21:45:02 [CLIENT] [INFO] Found animation info for: textures/items/clock.txt Client> 2013-05-03 21:45:02 [CLIENT] [INFO] Found animation info for: textures/items/compass.txt

Still in 0.7.1.

And 0.9.4.

Also on Windows XP, JRE7, with Snapshot 13w25c.
See attached Screenshot of my Launcher after logging off from 13w25c.
Kind regards, Meri
EDIT PS: If you need the console output, I saved it.

Although I see Will be installed even after it has been downloaded, closing and re-opening the launcher seems to fix the issue and properly displays Up to date.
Seems like a problem of not reloading the the versions after download?

Confirmed, Launcher (0.9.5) tells me "Up to date" now as well after new start of Launcher.
Adding a new Profile with a not-installed Snapshot Version produces the same "Will be installed" bug again.
Regards, Meri

Still an issue in Launcher 1.0.6

I propose that this ticket should be resolved since the wording has changed from "Will be installed" to "Ready to download & play" .
Confirmed.