Does the software update from Sun erase my previous version of Java?
No. It installs a newer version of the Java Runtime Environment while leaving the existing versions intact. For example, a client machine can have the Java SE versions 1.3, 1.3.1, 1.3.1_02, and 1.4 installed at the same time without conflict. This is useful for when application provider A has only certified their application on version 1.3, while application provider B requires version 1.4 for additional features or functionality. There are no conflicts or collisions between JRE versions, as they all peacefully co-exist.