See also the "desktop file fixes" bug about rhn_register

Most likely X-Red-Hat-Base should just have one icon that combines
register/update  (register first time, then update) and one for the config. If
re-registration is required maybe require command line for that, or have a
button in the up2date GUI.

Anyhow, so for up2date.desktop:
 should just be Name=Update Agent or better something descriptive like
Name=Update Software or Name=Red Hat Network
 
 Needs Categories=X-Red-Hat-Base;System;Application;

 Needs to be in /usr/share/applications and namespaced redhat-up2date.desktop

 Comment should be something like "Get software updates from Red Hat Network"

up2date-config.desktop:
 Name might be just "Red Hat Network" depending on how the rhn_register thing 
 is sorted out. I dunno, this is really hard to name properly, I suspect because 
 the config for up2date should be in up2date, the way every other app works. ;-)

 Comment should just be "Configure settings for Red Hat Network" drop the 
 "allows you to" part and no real need to specify "system and network" settings.

 Should again have X-Red-Hat-Base;System;Application; and move to
/usr/share/applications and namespace the file.

Anyhow, think about these three menu items as a whole; really there should be 
one tool under the System Tools menu that says Red Hat Network, so just one
.desktop file, probably. I'd say the register and configure things are just
things that come up from the single tool.

Remember to get Garrett to fix the lightbulb ;-)