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Xen, not only can you delete previous versions, you should uninstall them and delete the install folder. This is due to a bug that has recently been fixed on the CVS trunk, which is where Firefox 1.1 will be built from later this year (read: this is an issue for now, but shouldn't apply to 1.1).
You won't loose your bookmarks, prefernces, or extensions/themes doing this.
Windows users shuold be able to get this from Firefox's autoupdate functionality, which is most of the reason I haven't posted about this myself, even though it's been out for a few days.
And some stuff that article is very unclear about:
1) It *is* possible to tell the URLs apart, they just look very similar.
2) In reality, this isn't Firefox's problem, or Opera's, or any other browser vendor's. The standards which allow it explicitly warn that it may be possible (these were published several years ago), and warn domain name registrars to be careful of allowing domains that look similar to existing ones...
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