If you have INCEPTION 0.1.1, it'll probably force you to uninstall it when you start the upgrade. If you're still on 0.1, it'll let you install PR1.3 without removing INCEPTION. If you have aegisctl installed, it'll force you to remove that too. (All of those are related to dependencies I put in place, not Nokia action)

You should make sure to update to the new version, but you can do so either before or after the firmware upgrade. There aren't any harmful effects in any of the scenarios, so you're safe no matter what.