Microsoft has launched a preview of the next version of Windows 98. Short for Millennium Edition, Windows ME adds some extra features - but no major changes - to Windows 98.

This new version is claimed to be the last update to Windows 98 before Windows 95/98 and Windows 2000 finally merge.

Microsoft still looks set to make Internet Explorer 5.5 a key feature of Windows ME, despite the recent US court ruling that the company was wrong to make computer manufacturers install the web browser as an integral part the Windows operating system.

Improvements in Windows ME will include added features for handling digital music formats, such as MP3 files and Microsoft's own music format, plus enhanced support for PCs connected in home networks.

Digital video will also be supported, with facilities for editing movies and connecting your computer to DVD players or camcorders. A 'snapshot' facility is also in place, similar to those offered by products such as GoBack, allowing you to restore your computer to a previous working state if things go wrong.

By adding so many features which have been traditionally provided by add-on software, Microsoft risks upsetting more companies - but the new edition is likely to be on sale later this year, before a final settlement can be reached in the courts.

www.microsoft.com.