Microsoft is planning to release a new version of Internet Explorer - the world's most widely used web browsing software - with stronger, built-in security features.

The move is the latest in Microsoft's three-year effort to beef up security. Its products are the most targeted by malicious programmers, and it has bought security companies recently, leading to speculation it may launch its own anti- virus program.

"We have decided to do a new version of Internet Explorer, this is IE 7," said Microsoft chairman Bill Gates at the RSA Security Conference being held in San Francisco.

The world's largest software maker had not previously indicated whether it planned to release a new version of IE.

A new version with improved security and other features can help Microsoft fend-off small, but fast-growing competition from alternative browsers, analysts said.

Firefox, a free Web browser developed by a network of software programmers, has given Internet Explorer competition for the first time since Microsoft overtook the Netscape Navigator in the late 1990s to become the dominant way computer users view the World Wide Web.

The new version of IE, which Mr Gates said is to be released for preliminary testing this summer, will have new protections against viruses, spyware and phishing scams, which fool users into entering sensitive information on Web pages that appear to be legitimate.

JP Morgan analyst Adam Holt said the new browser could also include features such as headline-watching capabilities, to allow Microsoft's Internet Explorer to better compete with Firefox.

Mr Gates said security remains the biggest threat to the "fantastic advances" happening in the world of technology, and said Microsoft was spending more than a third of its annual $ 6 billion in research and development spending on security.

Meanwhile, local community groups in the West Midlands working to help disadvantaged young people and adults gain access to IT training have been invited to apply for a Microsoft Community Learning Award.

The company is once again partnering with national charity Citizens Online to launch the second round of the awards scheme, which will provide 30 awards of £ 2,500 and Microsoft donated software to UK based community groups in 2005.

It marks a further investment by Microsoft in the Awards scheme which was first launched in June 2004, when it attracted approximately 450 applications from UK voluntary organisations.

One group from the West Midlands was among the 25 winners from across the UK to receive £2,000 and Microsoft donated software in 2004.

Age Concern Birmingham used the funding to establish a "Silver Surfer" corner at the newly acquired Advice and Information and Trading Centre in Birmingham.

Due to the success of the first round of applications, the number of awards and their value has been increased for round two. The deadline for applications is March 24.

Alistair Baker, managing director of Microsoft UK, said: "The Microsoft Community Learning Awards aim to help community groups tackle the issue of digital inclusion by improving access to IT skills and training.

"We were extremely impressed to see the high standard of award entries last year and I hope the second round will further help the great work underway in communities across the West Midlands. We look forward to receiving your applications."

*For further information about how to apply community groups in the West Midlands should visit www.ukcommunityawards.com . Winners will be notified in May and invited to the Microsoft Community Learning Awards ceremony in late June.