As to updating, I think I've seen some mention of upping 1.0 to 1.1, but I wouldn't put money on it. As to 2.0, you might be able to find a firmware update for some players, but for the most part, I think you're out of luck.
I guess we can all just wait until profile 3 comes out, or 4, or 5...gotta love these unfinished products....LOL