Well, if you want to mess with the command line, you can, and you can actually do a lot of stuff quicker from the command line as opposed to pointing and clicking all over the place. However, the reason for a windowing system is to provide a layer above the commandline, and you can function in Linux without ever opening a terminal window.
As for updates; I'm running SuSE 10.0, and it does have an autoupdate feature, runs down in my "taskbar" and alerts me when updates are available. I have mine set for manual update (I initiate the updates) which just requires me to hit the "Start Update" button.
As for software applications; you download the .RPM package file to a temp directory, right click on it and pick "Actions" and "Install using (in my case) YaST", from the menu. Simple really.
yea well, if i could get linux to connect to the internet then
maybe i would really have something.