Microsoft reports: [edited]
Internet Explorer 8 Beta 1 is a (PC-only) developer preview for web designers and developers to help prepare their websites for the launch of Internet Explorer 8. Some of the new features designed for developers include a developer toolbar and improved interoperability and compatibility.
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Brett's 2p'orth: For a fuller discussion of just how much Microsoft have 'improved interoperability and compatibility' visit one of the tech geek forums. Slashdot would be as good a place as any to start.
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