There are IE hacks, using javascript/css, allowing IE to correctly
display alpha channel in pngs.
See for example:
http://homepage.ntlworld.com/bobosola/
or:
http://www.mongus.net/pngInfo/
BoD
Ira Abramov wrote:
MSIE on Windows accepts 8-bit palettized
transparent PNGs only. I wrote
up a quick howto for creating these in GIMP:
http://meta.wikipedia.org/wiki/Fixing_transparent_PNGs