At home I have three Windows PCs running Vista and, come update time, the home network can become a bit congested with three computers downloading exactly the same updates at (around) the same time.

Is there a way to avoid this? Is it possible to set up my own 'update' server within the network which would download the updates, and then my three Vista desktops would get their updates from that server? What options do I have?

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up vote 3 down vote accepted

Yes, it goes by the name WSUS.

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To do this you would need to have the update server run Windows Server 2003 SP1 or later – quickcel Jul 16 '09 at 4:13
WSUS requires Windows Server (2008 or 2003 SP1) and each computer requires a Client Access License (CAL). If it is for a home environment this is cost prohibitive. – jvanderh Jul 16 '09 at 4:13
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