Apple has released Java for Mac OS X 10.7 Update 1 and Java for Mac OS X 10.6 Update 6. In both cases, the updates address about a dozen security vulnerabilities, including one that could allow an untrusted Java applet to execute arbitrary code outside of the Java sandbox. (Free, 62.53 MB and 75.45 MB)
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Java for Mac OS X 10.7 Update 1 and Java for Mac OS X 10.6 Update 6
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All that said, unless you actually use Java much, or run into Java on the Web a lot, this Java update probably isn't a really important thing to have.