Google unhappy over search engine display in Microsoft's IE7

Microsoft's new IE7 browser includes a search box in the upper-right corner that is typically set up to send users to Microsoft's MSN search service. Google contends that this puts Microsoft in a position to unfairly grab Web traffic and advertising dollars from its competitors.

Google's position: "The market favors open choice for search, and companies should compete for users based on the quality of their search services. We don't think it's right for Microsoft to just set the default to MSN. We believe users should choose."

In the intellectual property area, last year, Microsoft sued Google to stop a star computer scientist and manager at Microsoft, Kai-Fu Lee, from working on search technology at Google. The suit was settled, and Lee runs Google's operations in China.