You need Bridge V2 (square shaped) and color capable Philips Hue lights or Friends of Hue Lights. These products will be automatically updated when you enable “Automatic Updates”. Go to Settings->Software update-> Automatic Update -> Enable and configure your preferred time, suggest a time where you usually do not use the Hue lights and make sure that these lights are powered on (connected to mains power).
In case you choose for manual update than tap on ‘settings’ -> ‘software update’ and the system will check if it is up to date. Follow onscreen instructions.