Have no reason to see why it should not work, 98SE came USB compliant. As Woodchip said USB2 drivers will be required for it to worn as USB2 however USB1 should not be a problem for transfering pics from cam to pc.
PS before you decide to by a Card, take the side of the computer and check near the back of the motherboard, as it may have two rows USB 1 Headers these may be hidden by Com port wires check carefully, this should be adequate for the camera. If it as, you can buy a bracket with two usb socket cheap to plug on them. If you do the red wire goes to pin on the mobo right by the Pin Headers