update, 2011-03-21: Microsoft are rectifying this issue, which is killing a lot of upgrades out there. Check this post by Microsoft employee joscon on the matter.

First of all, let me start by saying you really don't need to download and install Windows 7 SP1 unless you're running Windows Server 2008 R2. There are no new features for Windows 7, and only RemoteFX for Windows Server 2008 R2.

So, what happened when I tried to apply Windows 7 SP1 that is now available for download through Softpedia?

Hello darkness, my old friend I've come to talk with you again ((Simon and Garfunkel, "The Sounds Of Silence".))

I got to roll with the self control In the green tank when the shit unfolds Hold up, I got it sewn up Me and my niggas are about to blow up ((Cypress Hill, "Break 'em Off Some".))

The error message gently translates from Swedish to the English as "An error C0000034 occurred", or "Fatal error C0000034 applying update". Yuck.

One system restore later and I was back on track. That's nice, anyway. Guess I'll have to wait and see what a later update/more looking into that error message gives me.