UPDATE Microsoft has confirmed that Windows XP Service Pack 2 will ship in 2004.

In a surprising turn of events, Microsoft has pushed back the release date for the second Windows XP service pack to the third quarter of 2004. SP2 was long expected to debut before the end of 2003, one year after SP1 made the rounds.

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A stealth distribution on Windows Update let loose the final version of Microsoft's P2P designs for Windows XP this past week. The update has also been released as a standalone download, with the plumbing of a software development kit in close quarters.

The upgrade for Windows XP Service Pack 1 repositions the operating system's Internet underpinnings to the next generation IPv6 networking stack. The download also bridges together legacy network standards through NAT traversal technology known as "Teredo."

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Following up on its winter-themed add-ons for Windows XP released last December, Microsoft on Tuesday issued new XP "Fun Packs" to celebrate the spring season.

The Fun Packs are designed to showcase digital media features in Microsoft's flagship operating system, adding functionality to Windows Media Player 9 and Movie Maker 2. New Power Toys are also available for Windows XP: a video screen saver and automatic desktop wallpaper changer.

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Taking its first steps improve security of wireless networks, Microsoft issued a patch for Windows XP that enables support for Wi-Fi Protected Access.

WPA serves as an interim solution for bolstering security, while the IEEE works to ratify 802.11i, a new wireless networking standard that is slated for completion by the end of the year.

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The 64-bit edition of Windows XP designed for Intel's Itanium 2 processor was released to manufacturing Friday, alongside Windows Server 2003. To emphasize the updated nature of the release, Microsoft has named the desktop operating system Windows XP 64-Bit Edition Version 2003.

Windows Server 2003 Datacenter and Enterprise Editions will also feature 64-bit flavors of Redmond's new server platform.

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UPDATED In order to comply with a preliminary injunction forcing the company to include Sun Microsystems' Java in Windows, Microsoft is preparing two updates to Windows XP Service Pack 1.

An initial update dubbed SP1a was released Monday and is identical to the currently available SP1, but stripped of Microsoft's Java. SP1b will follow in June, featuring Sun's latest Java revision and meeting the timetable imposed by the court.

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To get into the spirit of the holidays, Microsoft has released special "Fun Packs" for Windows XP featuring winter-themed skins, sounds and templates. The three Fun Packs integrate with Windows Media Player 9 Series and Movie Maker 2 betas, along with Internet Explorer 6.

Windows Media Player 9 Series Winter Fun Pack adds new Ginger Man and Ice skins, winter visualizations, and holiday themed Auto Playlists that use the Smart Jukebox feature.

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At the Windows Embedded Developers Conference in Las Vegas Tuesday, Microsoft announced the release of Windows XP Embedded with Service Pack 1, the componentized version of Microsoft's flagship operating system designed for embedded devices. The update includes all security and bug fixes from Windows XP SP1, along with a number of new embedded-specific features.

Most notable is a new Remote Boot feature that enables a server to boot remotely using an image downloaded from a server, without requiring local storage. Windows XP Embedded with SP1 includes support for 20 languages via language packs, in addition to IPv6 and USB 2.0. The full .NET Framework is also supported in the update, but not the smaller .NET Compact Framework.

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Microsoft on Thursday released to manufacturers an update for Windows XP that adds support for Bluetooth devices. The software enables developers to build products using the Windows Bluetooth format, which will allow Windows XP users to easily connect a PC to Bluetooth peripherals such as cell phones, printers and mice.

"Microsoft is excited to have hit this milestone because the company believes it will be a catalyst to increasing use of wireless technologies -- one of the fastest-growing segments of the industry," a Microsoft spokesperson told BetaNews. "Mainstream availability of products containing Bluetooth wireless technology are expected to be a boom for wireless market opportunities and users will start to see an increasing number of Bluetooth devices available."

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Three days before it will make an official debut, Service Pack 1 for Windows XP is now available for download. The 133MB update corrects a myriad of security issues and bugs that have cropped up since Microsoft released Windows XP in October of last year.

"Windows XP SP1 is a well-tested collection of updates that improve upon the operating system's security, reliability and compatibility, including fixes developed as part of the Trustworthy Computing Initiative," a Microsoft spokesperson told BetaNews.

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Microsoft this week released to manufacturing the fifth version of Windows XP, designed to facilitate a new generation of media-centric PCs. The aptly named Windows XP Media Center Edition brings together digital music and video, photos, DVD playback, live television and PVR capability into a unified interface controlled via remote control.

"Windows XP Media Center Edition takes the great photo, music and video experiences introduced last fall with Windows XP to the next level and adds a new TV experience that only the power of the PC can deliver. It's an example of how innovation continues to make the PC even more central to people's lives," said Microsoft's vice president of the Platforms Products Group, Jim Allchin.

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Microsoft today formally unveiled the fifth version of Windows XP, dubbed Media Center Edition. Previously code-named Freestyle, Windows XP MCE is designed to turn a standard PC into a full-fledged entertainment center integrating digital music and video, photos, DVD playback, live television and PVR capability - all accessed via remote control.

"The PC has evolved from a tool for productivity to a device capable of entertainment, communications and so much more," said Microsoft's vice president of the Windows eHome Division, Michael Toutonghi.

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Microsoft on Wednesday made available to testers the first beta of Service Pack 1 for Windows XP Home and Professional editions. Company officials downplayed reports of a radical upgrade, calling SP1 "in most ways a traditional service pack" that is slated to include security fixes, compatibility updates and new drivers issued since XP's launch last October. Over 10,000 beta testers will be given access to download the SP1 beta starting today.

"Of note, included in the security updates will be fixes developed during the security push done by the entire Windows division as part of Microsoft's renewed emphasis on security for customers," a Microsoft spokesperson told BetaNews. "In addition to these traditional elements, Microsoft is fulfilling its commitment to implement the changes required by the consent decree signed with the Department of Justice and nine settling states."

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As promised, Microsoft has completed the long awaited USB 2.0 drivers for Windows XP. USB 2.0 support entered beta last summer, but Microsoft opted to leave the drivers out of its new operating system until they could be tested on more devices. USB 2.0 increases available bandwidth for devices to 480Mbps, making the technology ideal for high-quality video and storage.

"Microsoft has worked closely with its hardware (and software) partners - such as Adaptec, Canon, Cypress Conductor, Gateway, Intel, and NEC - to provide the necessary support for the USB 2.0 bus driver in Windows XP, driving further adoption of USB 2.0 and enabling customers to take advantage of the more than one hundred USB 2.0 devices available on the market today, as well as the hundreds of future USB 2.0 products," a Microsoft spokesperson told BetaNews.

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The beta cycle for the Windows XP edition of Novell's Client software has drawn to a close. Novell claims that its latest release represents the fastest, most reliable and best tested client for Windows, with in excess of 26,000 workstations tested. The release allows Windows XP users to utilize Novell Directory Services provided by servers running Novell software.

According to Novell, "The 32-bit Novell Client product brings the full power, ease of use, manageability, and security of NDS to Windows XP workstations. Novell Client for Windows XP fully supports NetWare and NDS services and utilities on a Windows XP workstation, including integrated messaging, multiprotocol support, management, security, and file and print services."

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