The New York Times reports that Google Inc. (NASDAQ: GOOG) will introduce its own browser -- named Chrome -- but will it cost Microsoft Corp. (NASDAQ: MSFT) any revenues? Since Microsoft gives away its browser, the answer is no. However, Google's move may force Microsoft to divert resources to upgrade its browser to avoid losing market share.

And Microsoft' still dominates the browser market. The Times reports that Microsoft "still holds 73 percent of the browser market. [Open-source browser] Firefox's [share] has climbed to 19 percent, while Apple Inc.'s (NASDAQ: AAPL) Safari has 6 percent." And Google's Chrome introduction marks "a shift for Google, which has strongly backed Firefox."

So why is Google doing this? It could be so that as Google develops applications -- such as search, word processing, spreadsheets, presentation and e-mail programs -- designed to run on browsers for PCs and handheld devices it wants to avoid being so dependent on Microsoft. InfoTech reports that a "new feature in the latest beta of Microsoft IE 8 makes it easier for users to block information about their browsing habits, a move which could hamper Google's interests in display advertising." And while Firefox keeps pressure on Microsoft to upgrade its browser, Google has far more resources to threaten Microsoft's share. So Chrome could divert more Microsoft cash and staff.

Microsoft Corp. (NASDAQ: MSFT) seems to be reversing itself a little lately, as evidenced by the latest move with one of its flagship products. That is, the world's largest software maker is not requiring the pesky "Windows Genuine Advantage" product authentication when customers of its web browser, Internet Explorer 7, are upgrading to the latest version of that software.

Usually, Microsoft is incredibly paranoid about verifying authenticity of its Windows operating system (not a stolen or hacked copy) and will only allow bug fixes and upgrades to Windows software installations that have been 'authenticated' using Microsoft's online verification system. Internet Explorer, the company's market share-leading web browser product, seems to be deviating from that past stance, however. Why would Microsoft stop forcing customers who are upgrading the Internet Explorer program on their PCs to verify if their Windows software is 100% legit?

It's not the endlessly customizable interface that the open-source-hungry are begging for, but Microsoft's next beta release of its next-gen browser, Internet Explorer 7, will fix problems with some popular features when it comes out some time in August. Jeremy Reimer from arstechnica notes that the design of previous releases seems "bizarre" and confirms that users won't be able to change the layout -- with "the menu bar being sandwiched between the address bar and the tab bar" -- in Beta 3 according to a recent Microsoft chat.

In a bit of rather technical mumbo-jumbo about caching behavior (why you care: it greatly increases bandwidth requirements in the Beta 2 version), developer Eric Lawrence explains some of the fixes that will be available on the IEBlog.

Last week, the developers announced the official name of the new browser would be "IE7+" or "Internet Explorer 7+" rather than tying it to the Vista moniker (as Tony says, " 'The version of IE7 in Vista' doesn't roll off the tongue as easily...")

As we've posted, Microsoft's new search bar in the upcoming (well, in Beta right now) Internet Explorer update is raising the ire of one pretty dominant search provider -- Google. While Google says this reeks of Microsoft's standard anti-competitive behavior, I have to semi-agree here, but  I also must suggest a solution to Microsoft, which will come later in the post. Keep reading!

<soapbox on> Ok Google, you've made inroads into search in the last five years that have made you the "search monopolist" that you are. And why? Because you provide a no-frills, consumer-friendly search service that works -- very well. You've beaten Microsoft (so far) and have banged up on your rival Yahoo! in this space. You've reaped huge rewards and the ad revenue you've received has propelled your fortunes to incredible heights. You've partnered with Firefox as the default search provider, and Firefox has made great inroads to the famously bug-ridden, slow and insecure Internet Explorer version 6 browser. Good for you!