CodeGear has released an update to its RAD Studio IDE, mostly addressing C++Builder 2007 but also for Delphi 2007. You can find the readme (this time for real) on the Developer Network. The problem of the update is that it requires the original install image. You can find a complete description of the reason in this post by Chris Pattinson.
Chris describes the issue at stake with MSI (Microsoft Installer) and mentioning alternative solutions (like moving the install images to a DVD or a network location, Nick has all the details). The issue is real. I have a 80 GB drive in my portable (too small, I know) and wasting several GB for many install images seems a total waste to me.
Moreover, Chris mentions a forthcoming "major" Update 3, timed along with the new Highlander product, saying that "Update 3 will apply, even if the cache is not present".