Microsoft recently released the first service pack for Windows 2000, which addresses a number of bugs and other issues that needed tweaking.

“We said we would make the first service pack for Windows 2000 available about six months after release of the operating system, and we have pretty much kept to that schedule,” said Mark Croft, product manager for Windows 2000 Professional.

Windows 2000 Service Pack 1, or SP1, deals with a variety of issues, including operating system reliability; applications and hardware compatibility to enable “more and more applications and hardware work unmodified” with Windows 2000; changes to Windows 2000 Setup to make installation easier; and a number of security fixes, Croft said.

e-book “Reader” software debuts

Microsoft has launched a new line of software for electronic books. The company’s new “Reader” software allows books to be read on personal computers and laptops, and might signal the first step towards a dramatic shift in the way the world reads books.

Electronic books will now be made available for sale at BarnesandNoble.com. Other online booksellers are expected to follow suit

Cookies put to the test

Microsoft plans to test new cookie management features for Internet Explorer with the aim of helping users protect their privacy on the Internet.

The world’s largest PC software maker said that the new features will provide more selective prompts, or alerts, when cookies arrive, as well as an easier way to manage and delete cookies. The features also aim to give consumers a better understanding of the different types of cookies used and where they come from.

The update is being released to about 2,000 Windows initial testers, including consumers and corporate users of Internet Explorer version 5.5 technologies. After feedback from these testers, Microsoft plans to release an initial, beta-stage test to the public within four weeks.

Legal problems start in Europe

The European Commission, compounding Microsoft’s legal problems, warned the software giant that it believes it is abusing its power to gain an edge in the global market for server software.

It said it had sent Microsoft a so-called statement of objections “for allegedly abusing its dominant position in the market for PC operating systems software by leveraging this power into the market for server software.”

The move is the latest legal headache for Microsoft.