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I believe that Airport is the 802.11b standard (11 Mbps) and Airport Extreme is the 802.11g standard (54 Mbps). If you are using it to connect to the internet, it isn't going to make a big difference because you won't get internet speeds higher than 11 Mbps usually anyway (usually).

As for the updating, I usually update if Apple says to. I guess I'm a drone.
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