We recently released Service Pack 1 of ArcGIS 10.1 for Server, and we encourage server administrators to upgrade their instances to this release as soon as possible. You can watch this video to see benefits and features in the service pack. You can also read about the updates in the online help.
Enjoy,
The ArcGIS for Server development team

I’d recommend that you check the status on the following issue before installing SP1:
NIM086349 – Alternate Query (Get) requests fail in Version 10.1 SP1
We just installed ArcGIS Server 10.1, SP1 on a new GIS server and a new Web server yesterday. Today, in experimenting with configuring ArcGIS Server security, we’ve quickly learned that ArcGIS Server Manager can look at domain users in our own domain controller but cannot see beyond our domain to see domain users on other networks that access our GIS server through a mix of WAN and LAN connections. A note on one of the forums that we were looking at mentioned that this ability to see users across domains would be available in SP2. Does the ArcGIS for Server development team have any estimate of when ArcGIS Server 10.1, SP 2 might be released?