Not always. It really depends on the console & how/what ways it has been modified. So far, I only know of a few ways a system update can brick the console:
-The update fails to install due to a power-outage during the update
-The update fails to install correctly
-The update bricks the wii because the console has been region-changed from KOR (Korean)
-You have previously downgraded the console & the new IOS that were downgraded are causing problems
-The update is not from your region (Semi-Brick)
Although normally, Wii System Updates do not brick, they can erase softmods & rid a modchip of it's region-free functionality, so be careful. Updating is not always necessary, either.
I have a japanese wii that i bought already with a hard modchip installed (so i dont know what chip i actually have). Now i was stupid enough to update my wii with Tom Clancy's Ghost Recon (2010)(PAL), i cant read japanese.
If you recall from our conversation from the past, i had either the 4.0j or 4.1j system update that worked on my wii with no problems at all. So the problem only started after i did the update with the above mentioned game.
Since the above mentioned game update, my wii no longer read backup games, it only plays original games. Also, if i access the wii systems menu, it gives the opera error message.
I am assuming the new update has blocked my chip from working and also semi bricked my wii because i inserted a (PAL) disc.