The latest nvidia-bumblebee fails to install or upgrade.

Output from installer:

check sums and md5 sums are ok
Creating directory NVIDIA-Linux-x86_64-346.35
Verifying archive integrity... OK
Uncompressing NVIDIA Accelerated Graphics Driver for Linux-x86_64
346.35...........................................................................................................................................................................................................................................................


Output of nvidia-bumblebee-346.35-1.1.x86_64.rpm %posttrans script:
    ++ '[' -x /usr/sbin/dkms ']'
    ++ /usr/sbin/dkms add -m nvidia -v 346.35 --rpm_safe_upgrade

    Creating symlink /var/lib/dkms/nvidia/346.35/source ->
                     /usr/src/nvidia-346.35

    DKMS: add completed.
    ++ /usr/sbin/dkms build -m nvidia -v 346.35

    Kernel preparation unnecessary for this kernel.  Skipping...

    Building module:
    cleaning build area....(bad exit status: 2)
    make KERNELRELEASE=3.16.7-7-desktop -C /lib/modules/3.16.7-7-desktop/build
SUBDIRS=/var/lib/dkms/nvidia/346.35/build modules....
    Error!  Build of nvidia.ko failed for: 3.16.7-7-desktop (x86_64)
    Consult the make.log in the build directory
    /var/lib/dkms/nvidia/346.35/build/ for more information.
    ++ /usr/sbin/dkms install -m nvidia -v 346.35

    Kernel preparation unnecessary for this kernel.  Skipping...

    Building module:
    cleaning build area....(bad exit status: 2)
    make KERNELRELEASE=3.16.7-7-desktop -C /lib/modules/3.16.7-7-desktop/build
SUBDIRS=/var/lib/dkms/nvidia/346.35/build modules....
    Error!  Build of nvidia.ko failed for: 3.16.7-7-desktop (x86_64)
    Consult the make.log in the build directory
    /var/lib/dkms/nvidia/346.35/build/ for more information.
    ++ popd




The file /var/lib/dkms/nvidia/346.35/build/make.log contains this:

DKMS make.log for nvidia-346.35 for kernel 3.16.7-7-desktop (x86_64)
Tue Jan 20 11:07:30 CET 2015
make: Entering directory '/usr/src/linux-3.16.7-7-obj/x86_64/desktop'
make[1]: Entering directory `/usr/src/linux-3.16.7-7-obj/x86_64/desktop'
  Building modules, stage 2.
  MODPOST 0 modules
make: Leaving directory '/usr/src/linux-3.16.7-7-obj/x86_64/desktop'


The problem is present for multiple users.
See this rather old thread for more info: 
https://forums.opensuse.org/showthread.php/502460-Hints-to-get-Bumblebee-working-on-an-Optimus-laptop-with-discrete-Nvidia-graphics-card?p=2689900#post2689900