iPhone cracking under pressure

It seems Apple is tripping over itself with every update they push. I installed 2.0.1, even though there are reports of problems, on my Telefonica Movistar 16GB iPhone 3G a few minutes ago. After the update, the iPhone shows a red dot on the Phone button, as if there was voicemail waiting, but with no number inside it:

Next, iTunes reports that an update to my carrier’s network settings is available, and wether I want to install it. I say “yes”, and greeted I am by an error:

Is it me, or is Apple failing to push out quality stuff?