Info on the Update.

I have receive a message from Nintendo on my Wii that told me to update to 3.4. The update does not remove the HBC. Apparently, it does however cause both the Twilight Hack and PatchMii not to work. You cannot currently update to 3.4 in an unofficial way like October 23rd 3.3 update with Tona's Updater, but you can however update your Mii Channel with THIS. It has been said in the IRC that Team Twiizers has another game exploit similar to the Twilight hack, one that is working with update 3.4 and uses an unnamed 2nd party game. It has also been said that there will be a simultaneous release of HBC beta 10 and BootMii. It should be reaffirmed, however, that this is entirely speculation.

The announcement lists these changes:

• USB keyboard support in Mii Channel
• Enhanced parental controls
• Twilight Hack version 0.1beta cannot be copied to the console
• Improved SD card read/write speed
• Improved disc reading

The update appears to include IOS50 (used by menu) and IOS254 (a copy of IOS9, to block PatchMii).

Nintendo has also changed there Privacy Policy as follows:

Old Policy:
"To ensure that your Wii Console is operating properly and efficiently, we may download updates, patches, upgrades, and similar software to your Wii Console. In addition, we may disable unauthorized or illegal software that has been placed on your Wii Console without notifying you where necessary, in order to comply with applicable laws, assist law enforcement, protect us, and our customers, and prevent the use and distribution of software obtained through improper channels."

New Policy:
"We may without notifying you, download updates, patches, upgrades, and similar software to your Wii Console and may disable unauthorized or illegal software placed on your Wii Console to ensure that your Wii Console is operating properly and efficiently, comply with applicable laws, assist law enforcement, protect us and our customers, or prevent the use and distribution of software obtained through improper channels."

Source