The concept of Bukkit isn't a failure. But the lack of full-on integrated support from Mojang and any sort of auto-upgrade process is why it is. This post shows exactly why it sucks trying to have a Bukkit server. A month since release now and they still don't have Bukkit for 1.7.2. *sigh* They really need some form of "apt" (ala: debian) to be able to install modules and update stuff more easily.
If you accidently updated your Minecraft to be 1.4.6... you can dl the file attached and downgrade your minecraft. go to search and look for %appdata% then find the .minecraft dir... look for bin/ folder. Remove the minecraft.jar and replace with the downloaded minecraft.jar and win!