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Microsoft to Strengthen Security

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Times Staff Writer

Microsoft Corp. Chairman Bill Gates put his mouth where his money is Tuesday, outlining for the first time how the software giant plans to use recent purchases to beef up security of its Windows operating system.

Speaking at a security trade conference here, Gates said Microsoft would give away a program to combat computer spyware, release a safer Internet browser this summer and sell anti-virus tools by the end of the year.

Gates said the world’s largest software company was making significant progress in helping consumers and companies reduce the risk of electronic attacks.

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“It’s the one thing we need to make sure we get absolutely right,” he said.

In recent months, Redmond, Wash.-based Microsoft has announced the purchase of two anti-virus companies and an anti-spyware firm. It has already released a test version of its spyware program that has been downloaded 5 million times, Gates said. New anti-virus programs were expected to follow.

Security industry rivals and some customers expressed doubts about Microsoft’s efforts, noting that shortcomings in the company’s other products are a major reason that attacks by spyware and electronic viruses continue to increase.

“We’re probably not going to look to the culprit for the solution for a while,” said Tom Jones, information security officer at California’s Health and Human Services Agency Data Center.

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Microsoft is clearly not acting out of goodwill alone. The company’s Web browser has been losing market share to upstarts including Firefox, which is free.

Microsoft committed to releasing the improved Internet Explorer only to its most recent customers, those using Windows XP along with the free security upgrade known as Service Pack 2. That’s about half of the Web-surfing public. Microsoft executives said they might release the safer browser more broadly, depending in part on customer demand.

Microsoft also said it would charge an unspecified amount for the anti-virus service -- welcome news to purveyors of competing anti-virus software, including Symantec Corp. of Cupertino, Calif., and McAfee Inc. of Santa Clara, Calif. Already, some of the best-regarded anti-spyware programs, including Ad-Aware and Spybot Search and Destroy, are free.

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Analysts and technology buyers said Microsoft would take some of the growing market for products that stave off viruses and spyware, which bombards users with advertising and slows machines down.

Microsoft’s best shot in spyware is with the 50% of computer users who don’t buy any security products at all, said Michael Irwin, chief financial officer of Webroot Software Inc., an anti-spyware firm that just took in more than $100 million in venture funding. “The other 50%, I don’t think they’ll settle for a free product,” he said.

Irwin said the idea of filing an antitrust complaint against Microsoft had been discussed by other spyware fighters. But executives at McAfee and Symantec, which are adding more spyware tools to their anti-virus products, were dismissive of the idea.

“We will be watching” Microsoft’s actions, Symantec Chief Executive John Thompson said. “But whining to Washington? What value is that?”

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