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I'm just passing along something I read here, I can't confirm any of this.
It look like MS is working on some new stuff called Windows Live. At first glace it looks like it is using start.com technology. There are some cools things coming from the article; advanced IM features, personalized home page with RSS feeds and sidebar gadgets, new email and more. There is a Live favorites feature I'm interested in. You can see some of the stuff they have planed here.