4.0 ice cream sandwich - "Unfortunately, Launcher has stopped" error after 4.0.4 OTA Upgrade

This morning, I received the Android 4.0.4 Over The Air upgrade.

After my phone rebooted, I saw the following error:

Unfortunately, Launcher has stopped.
[Report] [OK]

If I pressed OK, I would see the same error again. This was, indeed, unfortunate, because it made it impossible to run any application on the phone.

How do I fix this?

Answer

The problem was bad (or improperly upgraded?) saved data in the launcher app. Here's how I fixed it.

1. At the dialog above, press "Report"


2. When in the report screen, drag down the notification bar at the top of the screen.


3. Press the settings button in the upper left of the notifications area.


4. Tap "Apps", then "All", then find Launcher in the list. Tap Launcher.


5. Tap "Clear Data".

You lose your home screen customizations, but at least the phone now works again.