The satellite, Sputnik 1, was a replacement payload as the planned vehicle was running behind in its construction. It was launched 6 months later as Sputnik 3.
Fifty years later R7s are still putting things in orbit from Baikonour (Now in Kazakhstan and rented by Russia) and elsewhere, and are one of the cheapest and most reliable ways of getting them there. A new launch centre is being built for them at Kourou in French Guyana so there's no sign of their being retired any time soon. Replacement payloads to cover construction delays are also still being made, Giove-B still hasn't launched and Giove-A2 has been ordered as a second place filler just in case it misses again.
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