Here our friend pippopelo says it can be updated by placing the file in sd card & using the update system option in settings.
There is no need to copy files in /data/UpdateKit/Android.osk from the sd card. and i believe there is no need to root the system as well.
Here is the procedure said by pippopelo
Use this procedure for System Update Option:
in the root directory of the SD card, create a directory "UpdateKit" (note the uppercase and lowercase letters) and copy into the update file and rename it to android.osk. Go to "Settings" and choose "Update System". Discovery System updater window, press "Next" and a window will appear Backup software, press "Skip" or "Continue". Start window will appear to update, select "Start" and begin copying the file and then update verification. If everything is OK is performed, and will show a pop-up window inviting you to restart the device, click "OK". On the front panel both light LED, green LED lights. Wait until the GREEN LED starts flashing after a while, the device restarted and run it. You're done.