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There may be lot of issues with your current firmware. Updating to the latest firmware makes your phone more stable and reliable. Actually Nokia recommends to check for updates once in a month.
To check your current version press *#0000# (the number is zero). If it shows 2.x or lower then it is recommended to update your firmware as there are lot of bug fixes in the new version.
You can check the different firmware versions and the fixes
The following are some intersting FAQs from Nokia.
What are the benefits of updating my software (firmware)?
The benefits of updating the software (firmware) include additional functionality and improved performance.
How often do I need to update my firmware?
It is recommended to check for updates approximately once a month to keep your phone software up-to-date, or fix a potential operation problem you may have.
Is the update different if I take my phone to Nokia Care point?
No, this is the same update you would receive at a Nokia Care point, with the added advantage of convenience, as you can perform the update from any location with network coverage or Internet connection.
Will the warranty be void if I update my phone software using Nokia Software Updater?
No, it will not.
My phone “died” during an update, what should I do?
Take the phone to your nearest Nokia Care point. If the phone is within its warranty period, Nokia will repair the phone under the usual warranty terms and conditions. If the phone is not within its warranty period, Nokia is not liable for any loss as defined within the End-User Software Agreement.
For the complete FAQs regarding software update (It is recommended to read the entire FAQ before you do anything) click here
Before You Update
Updating firmware is always a little risky. If you’re not confident, it is better to consult the Nokia Service Center. But there is nothing to afraid. The only thing you need to take care is, there should be power backup (a UPS with 20 mts backup is enough) and the cable is tightly connected and not disturbed.
You should need a high speed internet connection. The Nokia Software Update program is of 22 MB and the update process will download almost 60 MB of data (check the screen shots). So you should have a broadband connection.
You should have a moderately powerful computer. Atleast 1 GHz processor with 256 MB of RAM.
How to Update ?
Visit http://europe.nokia.com/A4176089 for a step by step guide.
In short, you will be prompted for downloading the updater. You should install it. After that, it will prompt you to back up your data. (Read the FAQ). After that, the updater will download almost 60 MB of data. Once the download phase is completed, it will start updating your phone. Do NOT disconnect the phone at this stage. The update will take about 10 minutes. Once the update is completed you can restore your data.
Screen Shots
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I updated my Nokia N73 firmware V4.0735.3.0.2 RM-133 to the latest version V.4.0839.42.0.1 N73(59.01). I finished it w/o any interruption. But, when I started to open my video files with real player, it say’s ” UNABLE TO PLAY EITHER SOUND OR VIDEO CLIP, TRYING TO PLAY PARTIALLY”, it went blank and played only the audio of my mp4files. And it only played 3gp files. I called Nokia about this but they told me that there’s no problem with the update. I ask for a remedy and he told me just to convert all my mp4 videos to 3gp. For me it’s time consuming and the quality is not as good as the mp4. I hope someone can help me with this problem.