Per Cary's mention, Sophia

Microsoft plays catchup with IE7
Computer Business Review - UK
... While IE7 is currently only available in English, the browser does
support internationalized domain names -- web addresses registered in
non-ASCII characters ...
<http://www.cbronline.com/article_news.asp?guid=F1861DAE-FEE0-4C4D-9D53-265B2BDC0B6C>