No, you don't need to uninstall sp1 or other hotfixes.
As to weather it's worth it; From all I've read here and elsewhere it is a
critical update that should be installed for all users, however you should
proceed with caution , and check with you're manufacturer to make sure all
your hardware is ready. Also, Here is an very good checklist before
installing SP2: http://www3.telus.net/dandemar/spackins.htm
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