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Microsoft recently announced a security patch, MS04-028, which closes a hole in JPEG and other online image technologies. It will only be a matter of time now before the first malware appears in the wild, using this vulnerability.

Unlike other security holes, this particular problem is pervasive in multiple Microsoft products. Not only will you have to update Windows, you will have to search out and update all Microsoft products you own. (Oddly, Windows Update doesn't automate this).

From there, your job is not yet over. You will have to search all your other programs for possible weaknesses regarding JPEG technologies.