Windows2000

"We expect to have the boxes on retail shelves and the code to [manufacturers] on February 17," he said. "Our goal was always to release the product by the end of 1999, meaning our final bits to manufacturer."

Shipping the new operating system two months into 2000 offers some advantages for Microsoft's partners and customers, he said.

"A lot of our partners and customers have plans around the holiday season and Y2K," White said, referring to retailers planned holiday promotions and large companies' spending in preparation of the Year 2000 glitch. "This gives us the ability to be sensitive to those issues."

Windows 2000 offers enhanced Web application services, increased scalability (the ability to add more and more computers to a network), and increasied security, according to Microsoft. The software is more stable and reliable than earlier operating systems, the company says.