Today Microsoft has rolled out their first-ever update for Windows Phone 7, however this update is a small update which improves the software update process itself, therefore you are not going to notice any major improvements after installing it.
To get the update you must connect your phone to your PC and use the Zune software to check for the update, as for Mac users you must use the Windows Phone 7 Connector for Mac, if no update shows don’t worry as updates of this type are usually rolled out to a few thousand users at a time.
Also See: Xbox One September update features list
As previously mentioned the update is important for when new patches are rolled out, perhaps this means that Microsoft plan to roll out a more substantial update soon, perhaps this will consist of the copy and paste functionality which is currently missing from WP7.
Sadly this update will not be rolled out over-the-air, Microsoft say that this is for security and reliability reasons, which does make sense, I suppose at least when you update your phone via Zune you have the peace of mind knowing that a backup is made just-in-case.
Have you installed the update on your Windows Phone 7 smartphone? If so, was the process smooth and fast?