The Soviet Union surprised the world when they launched Sputnik, the world's first satellite, on October 4, 1957.

The launch of Sputnik had a huge impact on the US and the rest of the Western powers. They realized that if Russia had rockets capable of carrying a satellite into space, they could also deliver nuclear weapons anywhere in the world. American scientists were given top priority on placing an American satellite into space and developing an operational long range missile. Americans became threatened by Soviet accomplishments and as a result the development of space became a national priority.

The Sputnik program consisted of 3 successful satellites that were about 2 ft round and weighed 184 lds, it stayed up for 6 months.

Its rocket booster, weighing 4 tons, also reached orbit and was easily visible from the ground. The second Sputnik satellite was launched on Nov. 3, 1957 and carried a dog, named Laika, into space.

The last Sputnik was launched May 15, 1958,and it stayed up for about two years.
 

Sputnik's Launch Pad (as seen by a Corona Spy Satellite in the 60's)

In the enlarged image three large trucks are visible parked next to each other on the right, this gives you an impression of how absolutely HUGE the russian launch vehicles were - look at the size of that blast pit!  One of these gigantic rockets exploded in the mid 60's and although there are no photographs of it, the seismic shock wave that was felt in India and Japan, this suggest the possibility that it was considerably larger than the boosters used today to launch the space shuttle.

More Info
http://www.hq.nasa.gov/office/pao/History/sputnik/
http://www.windows.ucar.edu/tour/link=/space_missions/sputnik.html